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Problem 1: On 1/2/2018 a company bought a vehicle costing $135,000. The salvage value was expected to be $45,000 and the useful life was expected
Problem 1: On 1/2/2018 a company bought a vehicle costing $135,000. The salvage value was expected to be $45,000 and the useful life was expected to be 10 years or 100,000 miles driven. a) If the company uses straight line depreciation, make the entry to record 2020 depreciation expense. Show your computations. b) On 1/2/2021 the company decided to change the estimated useful life of this vehicle to 9 years total. Make the entry to record 2021 depreciation expense. Show your computations. c) On 1/2/2023 the company changes the estimated additional life of the machine to 5 more years from the date of the change. Make the entry to record 2023 depreciation expense. Show your computations
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