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Bonita Company placed an asset in service on January 2,2015 . Its cost was $1,242,000 with an estimated service life of 6 years. Salvage value
Bonita Company placed an asset in service on January 2,2015 . Its cost was $1,242,000 with an estimated service life of 6 years. Salvage value was estimated to be $90,000. Using the doubledeclining- balance method of depreciation, the depreciation for 2015 , 2016 , and 2017 would be $414,000,$276,000, and $184,000 respectively. During 2017 the company's management decided to change to the straight-line method of depreciation. Assume a 35% tax rate. (a) How much depreciation expense will be reported in the income from continuing operations of the company's income statement for 2017? (Hint: Use the new depreciation in the current year.) Depreciation expense \$ eTextbook and Media Attempts: 1 of 2 used (b) The parts of this question must be completed in order. This part will be available when you complete the part above
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