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Return to question 5 For financial reporting, Clinton Poultry Farms has used the declining-balance method of depreciation for conveyor equipment acquired at the beginning of
Return to question 5 For financial reporting, Clinton Poultry Farms has used the declining-balance method of depreciation for conveyor equipment acquired at the beginning of 2018 for $2.832,000. Its useful life was estimated to be six years with a $228,000 residual value. At the beginning of 2021, Clinton decides to change to the straight-ine method. The effect of this change on depreciation for each year is as follows: 10 points YASY 2018 2029 2020 Straight-Line $ 434 434 131 $1,302 {$ in thousands Declining Balance $ $ 944 629 120 $1,993 Difference $510 193 1141 $691 Required: 2. Prepare any 2021joumal entry related to the change. (Enter your answers in dollars. If no entry is required for a transaction/event, select "No journal entry required in the first account field.) Answer is complete but not entirely correct. No Event General Joumal Credit Debit 5,910,000 1 1 Depreciation expense Accumulated depreciation 691 %
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