Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. blossom company purchased a machine on january 1,2

Blossom Company purchased a machine on January 1,2022 for $951000. At...

50.1K

Verified Solution

Question

Accounting

image
Blossom Company purchased a machine on January 1,2022 for $951000. At the date of acquisition, the machine had an estimated useful life of 6 years with no salvage. The machine is being depreciated on a straight-line basis, On January 1, 2025, Blossom determined, as a result of additional information, that the machine had an estimated useful life of 8 years from the date of acquisition with no salvage. An accounting change was made in 2025 to reflect this additional information. Assume that the direct effects of this change are limited to the effects on depreciation and the related tax provision and that the income tax rate was 30% in 2022. 2023, 2024, and 2025. What should be reported in Blossorr's income statement for the year ended December 31,2025 , as the cumulative effect on prior years of changing the estimated useful life of the machine? $95100 $63400 $0 $332850

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Medical Sciences
1.2K views

A. Discuss the differences between a flu epidemic and pandemic. B. Explain what is meant by...

Psychology
1.2K views

Showing your humanity usually refers to an act of kindness or charity. Treating someone humanely means...

Mechanical Engineering
1.2K views

Air enters a window air conditioner at 1 atm, 36oC and 75% relative humidity (??) at...

Biology
1.2K views

Starch is a polymer of a D glucose a L glucose OB D glucose OB...

Biology
1.2K views

3 24 Which sentence contains transitional words or phrases A We need to be concerned...

Algebra
1.2K views

A release clause is found in aA) deed.B) sales contract.C) promissory note.D) deed of trust.

Accounting
1.2K views

Using the information below, compute the raw materials inventory turnover: ...

Accounting
1.2K views

JUST FOR FEET, INC Prepare common-sized balance sheets and income statements for Just...

Accounting
1.2K views

please explain as i am lost on where to start even. let me know if...

Accounting
1.2K views

Can you guide me through on how to calculate the direct materials mix variance? ...

Finance
1.2K views

Suppose an investor is interested in purchasing the following income producing property at a current...

Accounting
1.2K views

X Incorrect. Allocated fixed costs in total will not change. Precision Enterprises is pondering a...