20 Takatak, Inc., uses the group depreciation method for its furniture account. The depreciation rate used for furniture is 21%. The balance in the furniture account on December 31, 2019, was P125,000, and the balance in Accumulated Depreciation - Furniture was P61,000. The following purchases and dispositions of furniture occurred in 2020 (assume that all purchases and disposals occurred at the beginning of each year). Assets Sold Assets Purchased Cost Selling Price P35,000 P27,000 P8,000 The carrying amount of furniture at December 31, 2020 is Group of answer choices P71,070 P44,070 P64,750 P63,070
20 Takatak, Inc., uses the group depreciation method for its furniture account. The depreciation rate used for furniture is 21%. The balance in the furniture account on December 31, 2019, was P125,000, and the balance in Accumulated Depreciation - Furniture was P61,000. The following purchases and dispositions of furniture occurred in 2020 (assume that all purchases and disposals occurred at the beginning of each year). Assets Sold Assets Purchased Cost Selling Price P35,000 P27,000 P8,000 The carrying amount of furniture at December 31, 2020 is Group of answer choices P71,070 P44,070 P64,750 P63,070
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter7: Operating Assets
Section: Chapter Questions
Problem 24CE
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Question
20
Takatak, Inc., uses the group
|
Assets Sold |
|
Assets Purchased |
Cost |
Selling Price |
P35,000 |
P27,000 |
P8,000 |
The carrying amount of furniture at December 31, 2020 is
Group of answer choices
P71,070
P44,070
P64,750
P63,070
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