Consider the situation where an entity is recording a revaluation decrement related to a depreciable non-current...
Consider the situation where an entity is recording a revaluation decrement related to a depreciable non-current asset under AASB116. It is the first time this non-current asset has been revalued. Select all of the following statements that apply:
Select one or more:
An Asset Revaluation Surplus account will be debited.
The carrying amount and fair value must be materially different for this to take place.
There is no need to write-back accumulated depreciation.
No separate tax effect entries are required.
The impact of the decrement is reflected through other comprehensive income (OCI).
Homework Answers
1)The carrying amount and fair value must be materially different for this to take place.
2) The carrying amount and fair value must be materially different for this to take place.
3)There is no need to write-back accumulated depreciation.
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And why do we CR cost for machine 2 and not DR like machine
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The top image is the question, the bottom image is the
answer.
Within the answer, in working 1 (W1) Revaluation where did they
get the cost from as well as the SOPOL OCI-Revaluation gain figure
from?
And why do we CR cost for machine 2 and not DR like machine
1?
Q6 POLSON LTD Polson Ltd has supplied you with information about the two factory machines that they own: Machine 1 Machine 2 Depreciation policy Straight line 8 years Straight...
PLEASE HELP
The top image is the question, the bottom image is the
answer.
Within the answer (second image), in working 1 (W1) Revaluation
where did they get the cost from as well as the SOPOL
OCI-Revaluation gain figure from?
And why do we CR cost for machine 2 and not DR like machine
1?
POLSON LTD Polson Ltd has supplied you with information about the two factory machines that they own: Machine 1 Machine 2 Depreciation policy Straight line...
Blue Spruce Corporation, a clothing retailer, had income from operations (before tax) of $307,500, and recorded the following before-tax gains/(losses) for the year ended December 31, 2020: Gain on disposal of equipment Unrealized (loss)/gain on FV-NI investments (Loss)/gain on disposal of building Gain on disposal of FV-Nl investments 22,140 (44,280) (55,760) 27,060 Blue Spruce also had the following account balances as at January 1, 2020: Retained earnings Accumulated other comprehensive income (this was due to a revaluation surplus on land)...
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