Weaver Textiles Inc

Essay

Weaver Textiles Inc. has used the straight-line method to depreciate its equipment since it started business in 2005. At the beginning of 2009, the company decided to change to the double-declining-balance (DDB). method. Depreciation as reported and as it would have been reported if the company had always used DDB is listed below:
Required:
What journal entry, if any, should Weaver make to record the effect of the accounting change (ignore income taxes)? Explain.
$\begin{array}{rrr}\text { Year }& \text { Straight-Line } & \text { DDB } \\2005 & \$ 22,000 & \$ 45,000 \\2006 & 25,000 & 40,000 \\2007 & 28,000 & 38,000 \\2008 & 28,000 & 32,000\end{array}$