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An asset was purchased for $145,000 on January 1, Year 1, and originally estimated to have a useful life of 10 years with a residual
An asset was purchased for $145,000 on January 1, Year 1, and originally estimated to have a useful life of 10 years with a residual value of $12,500. At the beginning of the third year, it was determined that the remaining useful life of the asset was only 4 years with a residual value of $2,000. Calculate the third-year depreciation expense using the revised amounts and straight-line method. Round your answer to the nearest dollar.
A. $29,625
B. $30,125
C. $28,125
D. $29,125
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