02 Mar Assume Simmons Security Consultants purchased a bu
Assume Simmons Security Consultants purchased a building for $540,000 and depreciated it on a straight-line basis over 40 years. The estimated residual value was $90,000. After using the building for 20 years, Simmons realized that the building will remain useful only 13 more years. Starting with the 21st year, Simmons began depreciating the building over the newly revised total life of 33 years and decreased the estimated residual value to $35,500. Record depreciation expense on the building for years 20 and 21.View Solution: Assume Simmons Security Consultants purchased a building for 540 000 and
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