USE THE FOLLOWING FACT SET TO ANSWER QUESTIONS 25 –27: Mille…

USE THE FOLLOWING FACT SET TO ANSWER QUESTIONS 25 –27: Miller Corp. hired unqualified accounting staff and discovered many errors. Indicate what adjusting entries are necessary to correct these errors, assuming the 2023 books have already been closed. QUESTION 25 –> At the end of 2023, $4,200 of Interest Revenue should have been accrued, but the staff forgot. In early January 2024, when the $4,200 in cash was received, Interest Revenue was credited. What adjusting journal entry will correct this error in 2024?

Equipment was purchased at the beginning of 2022 for $850,00…

Equipment was purchased at the beginning of 2022 for $850,000. At the time of its purchase, the equipment was estimated to have a useful life of six years and a salvage value of $100,000. The equipment was depreciated using the straight-line method of depreciation through the end of 2024. At the beginning of 2025, the estimate of useful life was revised to a total life of eight years and the expected salvage value was changed to $62,500. The amount of depreciation expense for 2025, reflecting these changes in estimates, is: