Presented below is information related to equipment owned by Camel Company Q3- at December 31, 2021. Cost Accumulated depreciation to date Value-in-use Fair value less cost of disposal BD6,000,000 900,000 4,000,000 3,200,000 Assume that Camel company will continue to use this asset in the future. As of December 31, 2021, the equipment has a remaining useful life of 5 years. Required: Based on the above data use your advance skills to; a. Prepare the journal entry (if any) to record the impairment of the asset at December 31, 2021. b. Prepare the journal entry to record depreciation expense for 2022. C. The recoverable amount of the equipment at December 31, 2022, is BD4,250,000. Prepare the journal entry (if any) necessary to record this increase.

Presented below is information related to equipment owned by Camel Company Q3- at December 31, 2021. Cost Accumulated depreciation to date Value-in-use Fair value less cost of disposal BD6,000,000 900,000 4,000,000 3,200,000 Assume that Camel company will continue to use this asset in the future. As of December 31, 2021, the equipment has a remaining useful life of 5 years. Required: Based on the above data use your advance skills to; a. Prepare the journal entry (if any) to record the impairment of the asset at December 31, 2021. b. Prepare the journal entry to record depreciation expense for 2022. C. The recoverable amount of the equipment at December 31, 2022, is BD4,250,000. Prepare the journal entry (if any) necessary to record this increase.

Name: Presented below is information related to equipment owned by Camel Co
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Description: Presented below is information related to equipment owned by Camel CompanyQ3-at December 31, 2021.CostAccumulated depreciation to dateValue-in-useFair value less cost of disposalBD6,000,000900,0004,000,0003,200,000Assume that Camel company will cont

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter11: Depreciation, Depletion, Impairment, And Disposal

Section: Chapter Questions

Problem 5E: Comprehensive: Acquisition, Subsequent Expenditures, and Depreciation On January 2, 2019, Lapar...

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