What amount should be recorded to remove asset from property

Reference no: EM132817788

Question - An entity purchased equipment for P5,000,000 on January 1, 2020 with a useful life of 10 years and no residual value. On December 31, 2021, the entity classified the asset as held for sale. The fair value less cost of disposal of the equipment on December 31, 2021 is P3,200,000. On December 31, 2022, the fair value less cost of disposal of the equipment is P3,600,000.

What amount should be recorded as a debit to equipment on January 1, 2020?

a. 4,000,000

b. 3,200,000

c. 5,000,000

d. 1,000,000

What amount should be recorded to remove the asset from property, plant and equipment and classify it as held for sale on December 31, 2021:

a. 4,000,000

b. 5,800,000

c. 3,800,000

d. 3,600,000

Reference no: EM132817788

Questions Cloud

Why is operation management is important : Why is operation management is important in all types of organization

Why is the given technique the best for handling the data : You are interested in examining any potential differences in student learning (i.e., post-test minus pre-test) that may be due to the number of days of teacher.

What will be the price five years from now : A 20-year, The bond currently sells for $925. If the yield to maturity remains at its current rate, what will be the price 5 years from now?

Determining the production and operation management : Why is it important to include production and operation management in the curriculum. What is it's relevance to you as a student?

What amount should be recorded to remove asset from property : What amount should be recorded to remove the asset from property, plant and equipment and classify it as held for sale on December 31, 2021

What quantity should be ordered time : a. What quantity should be ordered each time? (Assume that the EOQ assumptions apply.)

Identify the purpose and components of a high-quality iep : Identify the purpose and components of a high-quality IEP. Explain the difference between procedural requirements and substantive requirements for developing.

What total amount of additional depreciation to be recognize : At the start of the current year, What total amount of additional depreciation to be recognized by ABC over the remaining life of the assets is

A linear trend equation : National Scan, Inc., sells radio frequency inventory tags. Monthly sales for a seven-month period were as follows:

User Account

All Pages