Find how much is the loss recognized during year

Reference no: EM132812635

Problem 1: PERIODIC REGULAR Co. acquired a building on January 1, 20x1 for a total cost of ?24,000,000 and classified it as investment property. PERIODIC Co. uses the fair value model for its investment property. On January 1, 20x5, when the carrying amount of the building is ?16,000,000, the elevator in the building was replaced for a total cost of ?3,200,000. It is impracticable to determine the fair value of the replaced part. The fair value of the building on December 31, 20x5 is ?17,200,000. How much is the loss recognized during the year?

a. 3,200,000

b. 2,000,000

c. no loss

d. indeterminable

Reference no: EM132812635

Questions Cloud

Distinguish between task and maintenance functions of groups : Distinguish between task and maintenance functions of groups in doing so provide examples of each function. own words with examples

Case study-empowering leadership : Paul Sanchez is the production manager for Echo Electronics, a small company that makes and distributes communications equipment.

Information systems research in the digital world : This journal article was focused on the Complexity of Information Systems Research in the Digital World.

Prepare the journal entries for the month of September : Ewole Catering Services is a sole proprietorship owned by Leslie Lowe. Prepare the journal entries for the month of September

Find how much is the loss recognized during year : How much is the loss recognized during year? PERIODIC REGULAR Co. acquired a building on January 1, 20x1 for a total cost of ?24,000,000

What went well with the response : What were the significant challenges with the response? In which ways could the response have been improved and In which ways could the response

What will globalization look like in a post-pandemic world : What will globalization look like in a post-pandemic world? What should globalization look like in a post-pandemic world? provide your opinion.

Define what outcomes you expect to achieve over time : Create a clear vision or mission statement that defines the scope of the initiative and would generate buy-in. Define what outcomes you expect to achieve over.

Infotech in global economy : "Interesting Assignments" - What were some of the more interesting assignments to you? How has this course changed your perspective?

User Account

All Pages