Nanki Corporation purchased equipment on January 1,2014,for $650,000.In 2014 and 2015,Nanki depreciated the asset on a straight-line basis with an estimated useful life of eight years and a $10,000 residual value.In 2016,due to changes in technology,Nanki revised the useful life to a total of six years with no residual value.What depreciation would Nanki record for the year 2016 on this equipment?
A) $108,333.
B) $106,667.
C) $122,500.
D) None of these answer choices are correct.
Correct Answer:
Verified
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