Answer:
The answer is given below
Explanation:
Depreciable cost at 31 December 2021 (2,848,000-2,004,000)
Depreciable Cost $844,000
Less: Residual value ($232,000)
Written down value as at January 1 ,2021 612,000
Depreciation per year as per straight line method (612,000/3) $204,000
Depreciation expense Dr.$204,000
Accumulated Depreciation Cr.$204,000
The change in depreciation method is change in estimate which is always accounted for prospectively.Therefore the written down value as at January 2021 will be depreciation over remaining useful life of the asset which is 3 years
