In 2025, Blossom Company discovered an error while preparing its 2025 financial statements. A building...
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In 2025, Blossom Company discovered an error while preparing its 2025 financial statements. A building constructed at the beginning of 2024 costing $1430100 has not been depreciated. The estimated useful life of the building is 30 years with no salvage value. Straight-line depreciation is used. Blossom properly included depreciation on its return also using straight-line depreciation. Income tax payable was also reported correctly at a tax rate of 20%. Income before depreciation expense in 2025 was $530000. What is the appropriate journal entry to record the prior period adjustment
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