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What is the amount of the overstatement or understatement

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Reference no: EM13942015

1. Workman Company purchases a machine on January 2, 2012 for $800,000. The machine has an estimated useful life of 5 years and a salvage value of $100,000. Depreciation was computed by the 150% declining-balance method. What is the amount of accumulated depreciation at the end of December 31, 2013?

2. Elliott Corp. failed to record accrued salaries for 2011, $2,000; 2012, $2,100; and 2013, $3,900. What is the amount of the overstatement or understatement of Retained Earnings at December 31, 2014?

Reference no: EM13942015

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