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pshichka
16 days ago
7

When a company revises an estimate used to record depreciation expense, the company should revise depreciation by using the form

ula _______ - revised salvage value)/revised remaining useful life.
Social Studies
2 answers:
murzikaleks [1.2K]16 days ago
8 0

Answer:

Book Value

Explanation:

Depreciation signifies the reduction in value of an asset due to standard wear or the passage of time.

Depreciation is calculated using the following formula:

Annual depreciation expense = \frac{Original\ Cost\ -\ Estimated\ Salvage\ Value}{Life\ of\ the\ asset\ }

When a company alters an

estimate like salvage value or remaining useful life of the asset, the depreciation expense is recalculated using this formula:Annual depreciation expense

=

wherein\frac{Book\ Value\ - Revised\ Salvage\ Value}{Remaining\ Useful\ Life\ Of\ the\ Asset} Book Value

=

Original Cost - Accumulated Depreciation up until now

Juliette [1.3K]16 days ago
8 0

Answer:

Book Value

Explanation:

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