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I have done this work a nd didn't receive a mark i just want to know how to solve it and check on my mistakes
I have done this work and didn't receive a mark i just want to know how to solve it and check on my mistakes again
QUESTION 5 Victor Mineli, the new controller of Carla Vista Co., has reviewed the expected useful lives and salvage values of selected depreciable asset categories at the beginning of 2017. Here are his findings: Category Date Historical Accum. Useful Life (Years) Salvage Value of Asset Acquired Cost Deprec. Original Proposed Original Proposed Building 1/1/2009 5736,500 $136,000 40 48 $56,500 $36,700 Warehouse 1/1/2012 145,000 27,710 25 20 6,450 4,400 All assets were placed into service on their acquisition dates and are depreciated by the straight-line method. Carla Vista Co. uses a calendar year in preparing annual financial statements. Note that Proposed" useful life is a revised estimate of total life, not remaining life. Enter all answers in whole dollar amounts without a $. If rounding is necessary, round to the nearest whole dollar (e.g., xxx). a. Using the original values, how much annual depreciation expense did Carla Vista recognize for the Building in 2016? 14095 b. Assume that management has agreed to accept Victor's proposed useful life change for the Building, but decides to retain the original salvage value estimate. How much annual depreciation expense will Carla Vista recognize for the Building in 2017? c. Now assume that management has agreed to accept Victor's proposed changes to both the useful life and the salvage value of the Building. How much annual depreciation expense will Carla Vista recognize for the Building in 2017? d. Using the original values, how much annual depreciation expense did Carla Vista recognize for the Warehouse in 2016? e. Assume that management has agreed to accept Victor's proposed useful life change for the Warehouse, but decides to retain the original salvage value estimate. How much annual depreciation expense will Carla Vista recognize for the Warehouse in 2017? f. Now assume that management has agreed to accept Victor's proposed changes to both the useful life and the salvage value of the Warehouse. How much annual depreciation expense will Carla Vista recognize for the Warehouse in 2017Step by Step Solution
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