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If Blatche Company opted to use the cost model to measure the shopp 3. mall, how much is the carrying amount of the shopping mall to be repor in its statement of financial position as of December 31, 2016? P230,000,000 b. P192,000,000 c. P200,000,000 d. P184,000,000 а.

If Blatche Company opted to use the cost model to measure the shopp 3. mall, how much is the carrying amount of the shopping mall to be repor in its statement of financial position as of December 31, 2016? P230,000,000 b. P192,000,000 c. P200,000,000 d. P184,000,000 а.

EBK CFIN
EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter10: Project Cash Flows And Risk
Section: Chapter Questions
Problem 14PROB
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ACCOUNTING FOR INVESTMENT PROPERTY.PROBLEM 6.  PLEASE ANSWER  AND SHOW SOLUTION

PROBLEM 20-6: Subsequent measurement: Cost model vs Fair value model Blatche Company completed the construction of a shopping mall at the ena a 2014 for a total cost of P200 million. The mall has an estimated economic kte ca 25 years. The mall was constructed for the purpose of earning rentals by Rus out space in the shopping mall to tenants. An independent valuation expert was used by the company to fair value shopping mall on an annual basis. According to the fair valuation expert, the P230 million, respectively.
Transcribed Image Text:PROBLEM 20-6: Subsequent measurement: Cost model vs Fair value model Blatche Company completed the construction of a shopping mall at the ena a 2014 for a total cost of P200 million. The mall has an estimated economic kte ca 25 years. The mall was constructed for the purpose of earning rentals by Rus out space in the shopping mall to tenants. An independent valuation expert was used by the company to fair value shopping mall on an annual basis. According to the fair valuation expert, the P230 million, respectively.
If Blatche Company opted to use the cost model to measure the shopping 3. mall, how much is the carrying amount of the shopping mall to be reported in its statement of financial position as of December 31, 2016? P230,000,000 b. P192,000,000 c. P200,000,000 d. P184,000,000 а.
Transcribed Image Text:If Blatche Company opted to use the cost model to measure the shopping 3. mall, how much is the carrying amount of the shopping mall to be reported in its statement of financial position as of December 31, 2016? P230,000,000 b. P192,000,000 c. P200,000,000 d. P184,000,000 а.
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