At 31 December 2003 Q, a limited liability company, owned a building that had cost $800,000 on 1 January 1994. It was being depreciated at two per cent per year. On 31 December 2003 a revaluation to $1,000,000 was recognised. At this date the building had a remaining useful life of 40 years. Which of the following pairs of figures correctly reflects the effects of the revaluation? Depreciation charge Revaluation reserve for year ended 31 December 2004 as at 31 December 2003 $ $ A 25,000 200,000 B 25,000 360,000 C 20,000 200,000 D 20,000 360,000
At 31 December 2003 Q, a limited liability company, owned a building that had cost $800,000 on 1 January 1994. It was being depreciated at two per cent per year. On 31 December 2003 a revaluation to $1,000,000 was recognised. At this date the building had a remaining useful life of 40 years. Which of the following pairs of figures correctly reflects the effects of the revaluation? Depreciation charge Revaluation reserve for year ended 31 December 2004 as at 31 December 2003 $ $ A 25,000 200,000 B 25,000 360,000 C 20,000 200,000 D 20,000 360,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter22: Accounting For Changes And Errors.
Section: Chapter Questions
Problem 11E: On January 1, 2014, Klinefelter Company purchased a building for 520,000. The building had an...
Related questions
Question
At 31 December 2003 Q, a limited liability company, owned a building that had cost $800,000 on 1 January 1994.
It was being
On 31 December 2003 a revaluation to $1,000,000 was recognised. At this date the building had a remaining useful
life of 40 years.
Which of the following pairs of figures correctly reflects the effects of the revaluation?
Depreciation charge Revaluation reserve
for year ended 31 December 2004 as at 31 December 2003
$ $
A 25,000 200,000
B 25,000 360,000
C 20,000 200,000
D 20,000 360,000
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT