A change in the estimated salvage value of a plant asset requires a restatement of prior years' depreciation expense.

Name: A change in the estimated salvage value of a plant asset requires a restatement of prior years' depreciation expense.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A change in the estimated salvage value of a plant asset affects the calculation of depreciation expense in the current and future periods only, not the restatement of prior years' depreciation expense.

A Change in the Estimated Salvage Value of a Plant