Determine the depreciation expense to record

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On January 1, 2017, SJ Ltd. bought machinery for $800,000. The company applied double declining balance depreciation for this asset, with an estimated life of eight years, and an estimated $ 150,000 residual value. At the beginning of 2020, SJ Ltd. decided to change to the straight-line method of depreciation for this equipment to better reflect asset utility and appropriately treated the change as a change in estimate.

Problem 1: Determine the depreciation expense to record on this machine for 2020.

Reference no: EM132969948

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