申論題

III. Northeast Airlines purchased an aircraft on Mar. 1, 2015, at a cost of $45,000,000. The estimated useful life of the aircraft is 20 years, with an estimated residual value of $5,000,000. On Sep. 1, 2018 the airline revises the remaining estimated useful life to 10 years with a revised residual value of $3,000,000. INSTRUCTIONS: All amounts must be rounded to total dollars. For Northeast Airlines,

2. Assuming the straight-line method is used, compute the depreciation expense for 2018.