Reference no: EM133138428

Question 1 - On January 1, 2022, Izzieh Corp. acquired a machine at a cost of P1,350,000. It is to be depreciated on the straight-line method over a five-year period with no residual value. Because of a bookkeeping error, no depreciation was recognized in Izzieh's 2022 financial statements. The oversight was discovered during the preparation of Izzieh's 2023 financial statements. Depreciation expense on this machine for 2023 should be?

Question 2 - On January 1, 2019, Rulyn Co. purchased a machine for P2,400,000 and depreciated it by the straight-line method using an estimated useful life of twelve years with no salvage value. On January 1, 2022, Rulyn determined that the machine had a useful life of seven years from the date of acquisition and will have a salvage value of P185,000. An accounting change was made in 2022 to reflect these additional data. The accumulated depreciation for this machine should have a balance at December 31, 2022 of?