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On January 2, 2024, Tobias Company began using straight-line depreciation for a certain class of
assets. In the past, the company had used double-declining-balance depreciation for these assets.
As of January 2, 2024, the amount of the change in accumulated depreciation is $41,500. The
appropriate tax rate is 25%. The separately reported change in 2024 earnings is:
Multiple Choice
an increase of $31,125.
a decrease of $41,500.
None of these answer choices are correct.
an increase of $41,500.

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On January 2- 2024- Tobias Company began using straight-line depreciat.pdf

  • 1. On January 2, 2024, Tobias Company began using straight-line depreciation for a certain class of assets. In the past, the company had used double-declining-balance depreciation for these assets. As of January 2, 2024, the amount of the change in accumulated depreciation is $41,500. The appropriate tax rate is 25%. The separately reported change in 2024 earnings is: Multiple Choice an increase of $31,125. a decrease of $41,500. None of these answer choices are correct. an increase of $41,500.