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Question - A property was purchased at a cost of $10m on 1 January 2017. It has a useful life of 10 years with straight-line depreciation and no residual value.
(a) At 1 January 2018, the property was revalued to $12m and its useful life remains unchanged. Prepare the journal entry to account for this revaluation.
(b) At 1 January 2019, the property was revalued to $6m and its useful life remains unchanged. Prepare the journal entry to account for this revaluation.
(c) At 1 January 2020, the property was revalued to $10m and its useful life remains unchanged. Prepare the journal entry to account for this revaluation.
the fasb was influenced by feedback from interested parties when pension accounting rules were developed. please cite
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