ACCOUNTING pter 11 Homework value: 5.00 points In 2016, internal auditors discov

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ACCOUNTING pter 11 Homework value: 5.00 points In 2016, internal auditors discovered that PKE Displays, Inc., had debited an expense account for the $372,000 cost of a equipment purchased on January 1, 2013. The equipment's life was expected to be five years with no residual value. Straight-line depreciation is used by PKE. (If no entry is required for a transactionlevent, select"No journal entry required" in the first account field.) Required: 1. Prepare the appropriate correcting entry assuming the error was discovered in 2016 before the adjusting and closing entries. (ignore income taxes.)

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Date Account Description Debit Credit 1 Equipment $ 372,000 Depreciation $    74,400 Accumulated Depreciation $        297,600 Retained Earnings $        148,800

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