Fellingham corporation purchased equipment on january

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64. Fellingham Corporation purchased equipment on January 1, 2011, for $200,000. The company estimated the equipment would have a useful life of 10 years with a $20,000 residual value. Fellingham uses the straight-line depreciation method. Early in 2013, Fellingham reassessed the equipment's condition and determined that its total useful life would be only six years in total and that it would have no salvage value. How much would Fellingham report as depreciation on this equipment for 2013? A. $24,000. B. $27,333. C. $36,000. D. $41,000. 65. A change from the straight-line method to the sum-of-years'-digits method of depreciation is handled as: been used all along. the new versus old useful life estimate.
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66. Murgatroyd Co. purchased equipment on January 1, 2011, for $500,000, estimating a four-year useful life and no residual value. In 2011 and 2012, Murgatroyd depreciated the asset using the sum-of-years'-digits method. In 2013, Murgatroyd changed to straight-line depreciation for this equipment. What depreciation would Murgatroyd record for the year 2013 on this equipment? 67. Broadway Ltd. purchased equipment on January 1, 2011, for $800,000, estimating a five-year useful life and no residual value. In 2011 and 2012, Broadway depreciated the asset using the straight-line method. In 2013, Broadway changed to sum-of-years'-digits depreciation for this equipment. What depreciation would Broadway record for the year 2013 on this equipment?
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68. On January 1, 2011, Al's Sporting Goods purchased store fixtures at a cost of $180,000. The anticipated service life was 10 years with no residual value. Al's has been using the double- declining balance method, but in 2013 adopted the straight-line method because the company believes it provides a better measure of income. Al's has a December 31 year-end. The journal entry to record depreciation for 2013 is: A. B. C. D. 69. An asset should be written down if there has been an impairment of value that is:
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