Danny Venable, the new controller of Seratelli Company, has reviewed the expected useful lives and salvage values of selected depreciable assets at the beginning of 2014. Here are his findings:

Type of		Date				Accumulated Depreciation,		Useful Life (in years)				Salvage Value
Asset		Acquired		Cost		Jan. 1, 2014		Old		Proposed		Old		Proposed
Building		Jan. 1, 2006		$923,600		$170,718		40		48		$70,010		$36,560
Warehouse		Jan. 1, 2009		133,700		25,606		25		20		5,670		4,650

All assets are depreciated by the straight-line method. Seratelli Company uses a calendar year in preparing annual financial statements. After discussion, management has agreed to accept Dannys proposed changes. (The Proposed useful life is total life, not remaining life.)