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Sammi Ltd. on December 31, 2020, showed the following equipment asset:
Equipment $200,000
Less: accumulated depreciation 56,000 144,000
Required:
Problem (a) Prepare the necessary general journal entry(ies), if any, to revalue the equipment as at December 31, 2020, using the asset adjustment method (as done in class).
Problem (b) prepare the entry to record depreciation expense for the year ended December 31, 2021.
Problem (c) Show how the equipment would be presented on the December 31, 2021 classified statement of financial position.
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