EcoRenew Inc. owns the following assets: Asset Purchase Date Cost Useful Life Residual Value Solar Farms Jan
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- EcoRenew Inc. owns the following assets:
| Asset | Purchase Date | Cost | Useful Life | Residual Value |
|---|---|---|---|---|
| Solar Farms | Jan 1, 2020 | $700,000 | 20 years | $60,000 |
| Wind Farms | July 1, 2021 | $1,400,000 | 25 years | $120,000 |
Instructions: a) Calculate the depreciation expense for each asset for the fiscal year 2023. b) Determine the balance in the accumulated depreciation account for each asset on December 31, 2023. c) Compute the net amount to be reported in the 2023 financial statements for each asset as of December 31, 2023.
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