Pete's Propellers Company showed the following information in its Property, Plant, and Equipment Subledger regarding Machine #5027. Machine #5027 Component Date of purchase Depreciation Method* Single metal housing. Jan. 12/18 Motor Blade Jan. 12/18 SL DDB Jan. 12/18 SL Cost $ 90,000 42,000 17, 400 Est. Residual $ 6,000 6,000 1,600 Est. Life 15 yrs 10 yrs 5 yrs $ 149, 400 *SL = Straight-line; DDB = Double-declining-balance On January 7, 2020, the machine blade cracked and it was replaced with a new one costing $13,600 purchased for cash (the old blade was scrapped). The new blade had an estimated residual value of $2,000 and an estimated life of five years and would continue to be depreciated using the straight-line method. During 2020, it was determined that the useful life on the metal housing should be increased to a total of 16 years instead of 15 years and that the residual value should be increased to $10,200.