Question
On July 1, 2001, a machine is purchased at a cost of $20,000. Before the 2001 books are closed you discover that an error caused
On July 1, 2001, a machine is purchased at a cost of $20,000. Before the 2001 books are closed you discover that an error caused by using an incorrect residual value resulted in depreciation for the year being $200 too high. To correct this error you will record a second adjusting entry for depreciation that will include...
A) a $200 debit to Depreciation Expense
B) a $200 credit to Asset-Machinery
C) a $200 debit to Accumulated Depreciation
D) none of the above
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
