Whitney Company purchased equipment on January 1 of Year 1 for $99,000. This equipment has a useful life of ten years and a residual value of $5,500. The company uses the straight-line depreciation method. In Year 2, the company discovered that it had incorrectly recorded depreciation for Year 1 as $6,380. Ignoring income taxes, record the correcting entry on January 1 of Year 2.

-Options to use for debit/credit account names:

Date	Account Name	Dr.	Cr.

Cash Inventory Property Building Equipment Accumulated Depreciation Cost of Oil Reserve Retained Earnings-Prior Period Adjustment Sales Cost of Goods Sold Depreciation Expense Exploration Expense Repairs Expense Gain on Reversal of Impairment Loss