(Solution) - Equipment was acquired on January 1 2009 at a cost -(2025 Original AI-Free Solution)

Paper Details

Equipment was acquired on January 1, 2009, at a cost of $190,000. The equipment was originally estimated to have a salvage value of $10,000 and an estimated life of 10 years. Depreciation has been recorded through December 31, 2011, using the straight-line method. On January 1, 2012, the estimated salvage value was revised to $16,000 and the useful life was revised to a total of 8 years.

Instructions
Determine the depreciation expense for 2012 and prepare the journal entry to record the depreciation expense for the year of 2012.