On January 1, 2015, HRP Co. purchased equipment for P500,000. It had an estimated useful life of 8 years with no residual value. It was estimated to have a replacement cost as follows: Dec. 31, 2017 - P800,000; Dec. 31, 2020 - P400,000; Dec. 31. 2021 - P900,000. 1. What is the revaluation surplus on Dec. 31, 2017? 2.What is the amount of revaluation surplus debited on December 31, 2020 as a result of the revaluation? 3. What is the amount of revaluation surplus credited on December 31, 2021 as a result of the revaluation?

On January 1, 2015, HRP Co. purchased equipment for P500,000. It had an estimated useful life of 8 years with no residual value. It was estimated to have a replacement cost as follows: Dec. 31, 2017 - P800,000; Dec. 31, 2020 - P400,000; Dec. 31. 2021 - P900,000. 1. What is the revaluation surplus on Dec. 31, 2017? 2.What is the amount of revaluation surplus debited on December 31, 2020 as a result of the revaluation? 3. What is the amount of revaluation surplus credited on December 31, 2021 as a result of the revaluation?

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 29CE

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