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Problem 11-10 (Static) Accounting changes; three accounting situations [LO11-2, 11-5, 11-6] Described below are three independent and unrelated situations involving accounting changes. Each change occurs

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Problem 11-10 (Static) Accounting changes; three accounting situations [LO11-2, 11-5, 11-6] Described below are three independent and unrelated situations involving accounting changes. Each change occurs during 2021 before any adjusting entries or closing entries are prepared. a. On December 30, 2017, Rival Industries acquired its office building at a cost of $10,000,000. It has been depreciated on a straight-line basis assuming a useful life of 40 years and no residual value. Early in 2021, the estimate of useful life was revised to 28 years in total with no change in residual value. b. At the beginning of 2017, the Hoffman Group purchased office equipment at a cost of $330,000. Its useful life was estimated to be 10 years with no residual value. The equipment has been depreciated by the straight-line method. On January 1, 2021, the company changed to the double-declining balance method. c. At the beginning of 2021. Jantzen Specialties, which uses the straight line method, changed to the double-declining balance method for newly acquired vehicles. The change decreased current year net income by $445,000 Required: 1. Identify the type of change. 2. Prepare any journal entry necessary as a direct result of the change as well as any adjusting entry for 2021 related to the situation described. Ignore Income tax effects.) Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required: Required 2 Prepare any journal entry necessary as a direct result of the change as well as any adjusting entry for 2021 related to the situation described. lgnore income tax effects.) (If no entry is required for a transaction/event, select "No journal entry required in the first account field) 1 2. Prepare any journal entry necessary as a direct result of the change as well as any adjusting entry for 2021 related to the situation described. lgnore Income tax effects.) 3 Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare any journal entry necessary as a direct result of the change as well as any adjusting entry for 2021 related to the situation described. (Ignore income tax effects.) (If no entry is required for a transaction/event, select "No journal entry required in the first account field.) No Year General Journal Debit 2021 No jumal required Credit 2 2021 370.000 Depreciation expense Accumulated depreciation Oo 370.000 2021 No joumal entry required 4 2021 21.000 Depreciation expense Accumbeddepreciation 21.000 5 No jumalat required

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