Depreciation Information BSG uses, the 200% double declining balance, Half Year, method to depreciate all 5, 7 & 10-year property BSG uses, the SL, mid-month basis to depreciate all real property The $230,000 of equipment included in the beginning balances has an expected life of 7 years and no salvage value The $200,000 building, purchased in 2022, has an expected life of 39 years and no salvage value As of 1/1/2023 - The estimated useful life and salvage value for the building that was purchased in 2022 was changed. It is now estimated that the building has a remaining life (as of 1/1/2023) of 20 years and a salvage value of $5,000. The building and land purchased on 1/1/2023, has a 25-year expected useful life and a $10,000 expected salvage value. The equipment purchased on 7/1 has a life of 7 years and a 5,000-salvage value Bad Debt Information The company uses the percentage of receivables method in estimating bad debts; 3% of the ending receivables balance is deemed to be uncollectible Supplies Information The company performed a physical count and discovered there was $150 worth of supplies on hand at 12/31/2023. Interest Information Notes Payable at December 31, 2022 consisted of: o Foley Bank -50,000, 6% interest rate. Interest is paid on Feb 1st of each year, principal to be repaid on 2/1/2026 o Northern bank - 120,000, 7% interest rate, Interest is paid on June 30th of each year, principal to be repaid on June 30, 2024 7/1/2023 - The $50,000 note had an interest rate of 6%, will be repaid in 2 years and interest is paid annually on 6/30 of each year. Additional Information Any additional information for adjustments can be located in Part 1 of the project. You will assume anything left in the asset/liability accounts from 2022 will have been earned or expired.