Estimated residual value in the given problem

Reference no: EM131763684

Question: This car had a revalued amount as at 31 December 2015 of $120,000, prior to any depreciation or revaluation being recognised for the year ended 31 December 2016. This car was revalued for the first time on 31 December 2015, from $130,000 to $120,000. The directors determined that as at 31 December 2015, the car had an estimated remaining useful life of 4 years, and an estimated residual value of $20,000. The directors have determined that the fair value of this car on 31 December 2016 is $116,000.

Reference no: EM131763684

Questions Cloud

Which one of the given statements about default is correct : Which one of the following statements about default is correct? Which one of the following is presently a major deterrent to bank panics in the United States?

Record the exchange on riley company books : Riley Company owns a machine that cost $560,000, has a book value of $240,000, Record the exchange on Riley Company's books

Find percent of assets in inventory and inventory turnover : Find percent of assets in inventory, inventory turnover, and weeks of supply to assets supply chain performance.

Observe differences in language and meaning : Marketers should observe differences in language and meaning, differences in market segmentation opportunities, and differences in consumption patterns

Estimated residual value in the given problem : This car had a revalued amount as at 31 December 2015 of $120,000, prior to any depreciation or revaluation being recognised for the year ended 31 December.

Determine the net cash provided by operating activities : The indirect method, determine the net cash provided by operating activities for the year

Explain why enhanced competitive pressures : Explain why enhanced competitive pressures from airline deregulation an airport privatization coupled with increased demands for a more sustainable

Imagine designing the complex product in company history : IMAGINE DESIGNING the most complex product in your company's history. What lessons about managing virtual teams does this case teach us?

Strategies for making them as effective as possible : Discuss the challenges of multiparty negotiations and strategies for making them as effective as possible?

User Account

All Pages