On January 2, 2012 . Lynch Company acquired machinery at a cost of $800,000 . This machinery was being depreciated by the double-declining-balance method over an estimated useful life of eight years, with no residual value. At the beginning of 2014, Lynch decided to change to the straight-line method of depreciation. Ignoring income tax considerations, the cumulative effect of this accounting

change is
a. $0.
b. $100,000.
c. $155,556
d. $177,778


A

Business

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