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Sarto Co. purchased a $360,000 asset on 1 January 20X2. In 20X6, the company changed the total useful life from 20 years to 14 years.
Sarto Co. purchased a $360,000 asset on 1 January 20X2. In 20X6, the company changed the total useful life from 20 years to 14 years. The asset was originally expected to be sold for $40,000 at the end of its useful life, but that amount was also changed in 20X6 to $20,000. Sarto applies the straight-line method of depreciation to this asset, and had claimed a full year of depreciation in the year of acquisition. Required: Calculate 20x6 depreciation expense. Depreciation expense
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