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In December of 2018, XL Computer's internal auditors discovered that office equipment costing $820,000 was charged to expense in 2016. The asset had an expected
In December of 2018, XL Computer's internal auditors discovered that office equipment costing $820,000 was charged to expense in 2016. The asset had an expected life of 10 years with no residual value. XL would have recorded a half year of depreciation in 2016. Required: Prepare the necessary correcting entry that would be made in 2018 (ignore income taxes), and the entry to record depreciation for 2018.
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