1. Change in Accounting Estimate.   Innotech Corporation had a piece of sophisticated manufacturing equipment purchased on January 1, 2017 at a cost of $3.5 million. Innotech originally anticipated rapid changes in technology that would limit the equipment’s life to 5 years, and expected that it would have no salvage value at that point in time.

During 2019, Innotech reassessed the expected useful life of the equipment, and now has a more optimistic view of its utility. The company now expects that the equipment will have a total useful life of 8 years (compared to the original estimate of 5) and that it will have a salvage value at the end of this 8-year period of $300,000.

Compute the revised amount of depreciation expense for 2019 and the remaining estimated life of the equipment.