1. The Company is in the process of adjusting and correcting its books at the end of 2017. In reviewing its records, the following information is compiled.

1. At December 31, 2017, the company decided to change the depreciation method on its office equipment from double-declining-balance to straight-line. The equipment had an original cost of $200,000 when purchased on January 1, 2015. It has a 10-year useful life and no salvage value. Depreciation expense recorded prior to 2017 under the double-declining-balance method was $72,000. They have already recorded 2017 depreciation expense of $25,600 using the double-declining-balance method. Prepare the necessary journal entry at December 31, 2017 before they close their books.

	Debit	Credit

2. Insurance for a 12-month period purchased on November 1 of this year was charged to insurance expense in the amount of $3,300 because the amount of the check is about the same every year. Prepare the necessary journal entry at December 31, 2017 before they close their books.

	Debit	Credit

3. Reported sales revenue for the year is $1,908,000. This includes all sales taxes collected for the year. The sales tax rate is 6%. Because the sales tax is forwarded to the states Department of Revenue, the Sales Tax Expense account is debited. The bookkeeper thought that the sales tax is a selling expense. At the end of the current year, the balance in the Sales Tax Expense account is $103,400. Prepare the necessary journal entry at December 31, 2017 before they close their books.

	Debit	Credit