ool Company owns an equipment costing P5,200,000 with original residual value of P400,000. The life of the asset is 10 years and was depreciated using the straight-line method. The equipment has a replacement cost of P8,000,000 with residual value of P200,000. The age of the asset is 4 years. The appraisal of the equipment showed a total revised useful life of 12 years and the company decided to carry the equipment at revalued amount. 1. Cool should initially report revaluation surplus in shareholder’s equity at -- 2. The subsequent annual depreciation should be
ool Company owns an equipment costing P5,200,000 with original residual value of P400,000. The life of the asset is 10 years and was depreciated using the straight-line method. The equipment has a replacement cost of P8,000,000 with residual value of P200,000. The age of the asset is 4 years. The appraisal of the equipment showed a total revised useful life of 12 years and the company decided to carry the equipment at revalued amount. 1. Cool should initially report revaluation surplus in shareholder’s equity at -- 2. The subsequent annual depreciation should be
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
Chapter22: Accounting For Changes And Errors.
Section: Chapter Questions
Problem 11E: On January 1, 2014, Klinefelter Company purchased a building for 520,000. The building had an...
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Cool Company owns an equipment costing P5,200,000 with original residual value of P400,000. The life of the asset is 10 years and was
1. Cool should initially report revaluation surplus in shareholder’s equity at --
2. The subsequent annual depreciation should be --
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