Seaside company applied revaluation accounting to plant asset with carrying amount of 4,000,000 on January 1, 2017, useful life of 4 years and no residual value.  Depreciation is calculated on the straight line basis. On December 31, 2017, independent appraisers determined that the asset has a fair value of 3,750,000. What is the amount of revaluation surplus credited in the journal entry to record the revaluation on December 31, 2017?

On January 2, 2017, Stacy Company acquired equipment to be used in its manufacturing operations. The equipment has an estimated useful life of 10 years and an estimated residual value of P15,000. The depreciation applicable to this equipment was P63,636 for 2020, computed under the sum-of-the- years'-digits method. What was the acquisition cost of the equipment?

AICO Limited purchased a non-current asset (Motor Vehicle) at the beginning of year 2012 for N9,600,000 and applied a depreciation rate of 25% per annum using reducing balance method. The company sold the vehicle for N4,500,000 at the beginning of year 2016. You are required to prepare: i. Accumulated depreciation account and ii. Asset disposal account

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SEAT Inc. acquired the following assets in January of 2015.        Equipment, estimated service life, 5 years; salvage value, $16,200                   $503,700        Building, estimated service life, 30 years; no salvage value                               $648,000 The equipment has been depreciated using the sum-of-the-years’-digits method for the first 3 years for financial reporting purposes. In 2018, the company decided to change the method of computing depreciation to the straight-line method for the equipment, but no change was made in the estimated service life or salvage value. It was also decided to change the total estimated service life of the building from 30 years to 40 years, with no change in the estimated salvage value. The building is depreciated on the straight-line method.        (a) Prepare the journal entry to record depreciation expense for the equipment in 2018.        (b) Prepare the journal entry to record depreciation expense for the building in 2018.

Falcetto Company acquired equipment on January 1, 2016, for $12,000. Falcetto elects to value this class of equipment using revaluation accounting. This equipment is being depreciated on a straight-line basis over its 6-year useful life. There is no residual value at the end of the 6-year period. The appraised value of the equipment approximates the carrying amount at December 31, 2016 and 2018. On December 31, 2017, the fair value of the equipment is determined to be $7,000.Instructions(a) Prepare the journal entries for 2016 related to the equipment.(b) Prepare the journal entries for 2017 related to the equipment.(c) Determine the amount of depreciation expense that Falcetto will record on the equipment in 2018.

On January1, 2013, FUSS Company acquired a bakery equipment at a cost of $650,000. The equipment is being depreciated using straight-line method over its estimated useful life of 10 years. On December 31,2016, a determination was made that the asset's recoverable amount was only $240,000. On December 31,2018, the asset's recoverable amount was determined to be $270,000 and the management believes that the impairment previously recognized should be reversed. How much gain from recovery of impairment should be reported in 2018?

Cake, Inc. purchased a machinery on January 1, 2020, at a cost of P1,250,000. It is being depreciated using the straight-line method over its projected useful life of 8 years. On December 31, 2021, the asset's fair value was P1,125,000. Accordingly, an entry was made on that date to recognize the revaluation surplus. Revaluation is recorded maintaining the proportionate relationship between the asset account and accumulated depreciation. It is the company policy to transfer a portion of revaluation surplus to retained earnings every period. What is the amount of revaluation surplus reported in equity on December 31, 2022?*

On 1/1/2015 IMAR Co. has equipment with an initial cost of $200,000 with useful life of 10 years with zero residual value, and the company decide to use straight line method to depreciate this equipment. On 31/12/2019 the company recorded the depreciation entry, and at the same date the fair value of the equipment estimated to be $115,000 by independent experts. On 31/12/2020 the company estimated the equipment again with fair value of $85,000. Required: Compute the amount of the "Revaluation Surplus" account on balance sheet on 31/12/2020.

Diamond Ltd acquired an item of polishing equipment on 1 July 2015 for $440,000. The equipmentis expected to have a useful life of 10 years and the straight-line method of depreciation is to be uşed. 'It has salvage value of $40,000. On 1 July 2017, the equipment is deemed to have a fair valye of $424,000 and revaluation is undertaken in accordance with the Diamond Ltd policy of measuring property, plant and equipment at fair value. The asset is still usable for next 8 years but the salvage value is determined to be zero. The asset is sold for $356,000 on 1 July 2019. Required: Provide the journal entries necessary at the following dates to account for the above transactions and events. (Ignore narrations). Show your working. (10 marks) 01/07/2015 01/07/2017 01/07/2019