A plant asset is acquired by a business on January 1, 2010, for $60,000. The asset's estimated residual value is $10,000 and its estimated life is 5 years. Management chooses to use straight-line depreciation.
On January 1, 2012, management revises the total useful life to 8 years and the residual value to $4,000. Compute the balance in accumulated depreciation on December 31, 2012.

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The Answer of A plant asset is acquired by a business on January 1, 2010, for $60,000. The asset's estimated residual value is $10,000 and its estimated life is 5 years. Management chooses to use straight-line depreciation.
On January 1, 2012, management revises the total useful life to 8 years and the residual value to $4,000. Compute the balance in accumulated depreciation on December 31, 2012.

A Plant Asset Is Acquired by a Business on January