Reference no: EM132938116
Question - On April 30, 2020, Sisig Corp. classifies a property in Eastern Visayas as held for sale. The carrying amount of the property as of this date is P300,000,000 (cost of P400,000,000, accumulated depreciation of P60,000,000, and accumulated impairment loss of P40,000,000). The estimate of the fair value less cost to sell on this date is P280,000,000.
On December 31, 2020, the estimate of the fair value less cost to sell is P350,000,000. The sudden increase in the fair value is attributed to the increase in demand in Eastern Visayas.
What is the amount of impairment loss recovery on December 31, 2020?