TGIF Company owned a building on January 01, 2019, with historical cost of P52,000,000. The property is depreciated over 40 years on a straight-line basis with no residual value. The entity adopted a policy of revaluation of property. The building had so far been revalued twice at fair value. The fair values of the building are as follows: January 01, 2020 – P60,840,000; January 01, 2022 – P72,150,000. How much is the revaluation surplus to be reported in the statement of changes in equity for the year ended December 31, 2022? A. 23,660,000 B. 24,570,000 C. 24,050,000 D. 23,400,000
TGIF Company owned a building on January 01, 2019, with historical cost of P52,000,000. The property is depreciated over 40 years on a straight-line basis with no residual value. The entity adopted a policy of revaluation of property. The building had so far been revalued twice at fair value. The fair values of the building are as follows: January 01, 2020 – P60,840,000; January 01, 2022 – P72,150,000. How much is the revaluation surplus to be reported in the statement of changes in equity for the year ended December 31, 2022? A. 23,660,000 B. 24,570,000 C. 24,050,000 D. 23,400,000
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 38P
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TGIF Company owned a building on January 01, 2019, with historical cost of P52,000,000. The property is
How much is the revaluation surplus to be reported in the statement of changes in equity for the year ended December 31, 2022?
A. 23,660,000
B. 24,570,000
C. 24,050,000
D. 23,400,000
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