Collins Corporation purchased office equipment at the beginning of 2016 and capitalized a cost of $2,036,000. This cost figure included the following expenditures:

Purchase price	$	1,880,000
Freight charges		33,000
Installation charges		23,000
Annual maintenance charge		100,000
Total	$	2,036,000

The company estimated an eight-year useful life for the equipment. No residual value is anticipated. The double-declining-balance method was used to determine depreciation expense for 2016 and 2017. In 2018, after the 2017 financial statements were issued, the company decided to switch to the straight-line depreciation method for this equipment. At that time, the companys controller discovered that the original cost of the equipment incorrectly included one year of annual maintenance charges for the equipment.

Collins Corporation purchased office equipment at the beginning of 2016 and capitalized a cost of $2,036,000. This cost figure Included the following expenditures: Purchase price Freight charges Installation charges Annual maintenance charge Total $1,880,000 33,000 23,000 100,000 $2,036,000 The company estimated an eight-year useful llfe for the equipment. No residual value is anticlpated. The double-declining-balance method was used to determine depreclation expense for 2016 and 2017 In 2018, after the 2017 financial statements were issued, the company decided to switch to the straight-line depreciation method for this equipment. At that time, the company's controller discovered that the original cost of the equipment incorrectly included one year of annual maintenance charges for the equipment. Required 1. Ignoring income taxes, prepare the appropriate correcting entry for the equipment capitalization error discovered in 2018. 2. Ignoring income taxes, prepare any 2018 journal entry(s) related to the change in depreclation methods. Complete this question by entering your answers in the tabs below Required 1Required 2 Ignoring income taxes, prepare the appropriate correcting entry for the equipment capitalization error discovered in 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the correcting entry for the equipment capitalization error discovered in 2018 Note: Enter debits before credits. Event General Journal Debit Credit