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The estimated life of a building that has been depreciated 30 years of an originally estimated life of 50 years has been revised to a
The estimated life of a building that has been depreciated 30 years of an originally estimated life of 50 years has been revised to a remaining life of 10 years. Based on this information, the accountant should:
Select one:
a. Continue to depreciate the building over the original 50-year lifeb. Depreciate the remaining book value over the remaining life of the assetc. Adjust accumulated depreciation to its appropriate balance, through net income, based on a 40-year life, and then depreciate the adjusted book value as though the estimated life has always been 40 yearsd. Adjust accumulated depreciation to its appropriate balance through retained earnings, based on a 40-year life, and then depreciate the adjusted book value as though the estimated life has always been 40 yearsStep by Step Solution
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