User Account

All Pages

How much can be recognized as gain on impairment recovery

Assignment Help Financial Accounting
Reference no: EM132781102

Question - Please provide solution and explanation. I am a slow learner Thank you so much GGGG Corporation acquired a patent right on July 1, 2016 for P250,000. The remaining legal life on the date of purchase is 15 years. However, due to rapidly changing technology, management estimates that the remaining useful life on July 1, 2016 is only 5 years.

At January 1, 2017, management is uncertain that the process can actually be made economically feasible, and decides to write down the patent to an estimated recoverable amount of P75,000. Amortization will be taken over 3 years from that point.

On January 1, 2019, having perfected the related production process, independent valuers certified that the asset has a fair value of P300,000. Furthermore, the estimated useful life is now believed to be 6 more years.

Required -

1. How much can be recognized as gain on impairment recovery is 2019?

2. How much can be recognized as revaluation surplus on January 1, 2019?

3. Carrying amount of patent at the end of the year 2019?

Reference no: EM132781102

Questions Cloud

Compute the yield to maturity on the old issue : Airborne Airlines Inc. has a $1,000 par value bond outstanding with 30 years to maturity. Compute the yield to maturity on the old issue
What psychological impact does a non-violent approach : What psychological impact does a non-violent approach/ideology have on a movement?
Examples of sensory adaptation : Dana rides a skateboard. Identify at least 3 senses Dana will use while riding the skateboard and explain how they will be used.
Have the directors violated their duty to exercise care : Have the directors violated their duty to exercise care and diligence under Section 180(1) of the Corporations Act 2001 (Cth)? Explain your answer.
How much can be recognized as gain on impairment recovery : The estimated useful life is now believed to be 6 more years. How much can be recognized as gain on impairment recovery is 2019
Discuss dmc and its consequences : What intervention techniques have been shown to be effective in youth affected by family violence? Discuss DMC and its consequences.
Elaborate on the concepts of self-efficacy and gender : What aspects of gender identity or socialization may impact a person's sense of confidence, ability, and mastery? Elaborate and provide examples.
Calculate enterprise value of xyz based on each multiple : Calculate enterprise value of XYZ based on each multiple.YZ ltd opening net book value of $1,265,487 and number of shares of 550,678 (both values in thousand)
Discuss the evolution of fire investigations : Using proper APA format in at least 800 words, briefly discuss the evolution of fire investigations and its impact on arson cases. As well as, briefly provide.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd