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On January 1, 2008, Jamacha Company purchased some equipment for $15,000

Accounting

On January 1, 2008, Jamacha Company purchased some equipment for $15,000. The estimated salvage value and useful life are $3,000 and 4 years, respectively. On January 1, 2010, the company determines that the asset's remaining useful life is 3 years. What is the revised depreciation expense for 2010 if the company uses the straight-line method?

a. $2,000

b. $2,250

c.   $4,000

d. $2,500

 

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