The estimated salvage value was 100000 after using the


Question - Stagecoach Van Lines purchased a building for $700,000 and depreciated it on a straight-line basis for over a 40-year period. The estimated salvage value was $100,000. After using the building for 15 years, Stagecoach realized that wear an tear on the building would force the company to replace it before 40 years. Starting with the 16th year, Stagecoach began depreciating the building over a revised total life of 30 years and increased the estimated salvage value to $175,000. Record depreciation expense on the building for years 15 and 16.

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Accounting Basics: The estimated salvage value was 100000 after using the
Reference No:- TGS02556086

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