Kyle Co purchased an investment property some year ago and carries it under the fair value...
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Kyle Co purchased an investment property some year ago and carries it under the fair value model. At 1 January 20X1, the property had a fair value in Kyle Co's financial statements of $12 million. On 1 July 20X1 Kyle Co decided to move into the property and use it for its own business. At this date the asset had a fair value of $14 million and a remaining useful life of 14 years. What amount should be recorded in Kyle Co's statement of profit or loss for the year ended 31 December 20X1? Kyle Co purchased an investment property some year ago and carries it under the fair value model. At 1 January 20X1, the property had a fair value in Kyle Co's financial statements of $12 million. On 1 July 20X1 Kyle Co decided to move into the property and use it for its own business. At this date the asset had a fair value of $14 million and a remaining useful life of 14 years. What amount should be recorded in Kyle Co's statement of profit or loss for the year ended 31 December 20X1?
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Answer It should be classified as property plant and equipment o... View the full answer
Related Book For
Foundations of Finance The Logic and Practice of Financial Management
ISBN: 978-0132994873
8th edition
Authors: Arthur J. Keown, John D. Martin, J. William Petty
Posted Date:
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