Barlow Trail Corporation purchased office equipment on September 30,2015,for a total cost of $50,500.Management estimated useful life at 15 years and residual value at $5,500.Straight-line depreciation is used and computed to the nearest whole month.Barlow Trail Corporation's year end is December 31.
Required:
a.Prepare the adjusting entry for depreciation on December 31,2015.
b.Early in 2017,management revised its estimates of useful life and residual value for the office equipment.Useful life was reduced to a total of 10 years,and residual value was reduced to $2,000.Prepare the adjusting entry for depreciation on December 31,2017,using the revised estimate.

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The Answer of Barlow Trail Corporation purchased office equipment on September 30,2015,for a total cost of $50,500.Management estimated useful life at 15 years and residual value at $5,500.Straight-line depreciation is used and computed to the nearest whole month.Barlow Trail Corporation's year end is December 31.
Required:
a.Prepare the adjusting entry for depreciation on December 31,2015.
b.Early in 2017,management revised its estimates of useful life and residual value for the office equipment.Useful life was reduced to a total of 10 years,and residual value was reduced to $2,000.Prepare the adjusting entry for depreciation on December 31,2017,using the revised estimate.

Barlow Trail Corporation Purchased Office Equipment on September 30,2015,for a Total