Wang Company owns land (cost HK$200,000) for which it uses revaluation accounting. It has the following information related to this asset, the only land asset that Wang owns.

Instructions

(a) Prepare all entries related to the land for 2014.

(b) Determine the amounts to be reported by Wang at December 31, 2015 and 2016, as Land, Other Comprehensive Income, Impairment Loss, and Accumulated Other Comprehensive Income.

(c) Prepare the entry for any revaluation adjustments at December 31, 2015 and 2016.

(d) Prepare the entries for the sale of the property by Wang on January 15, 2017, for HK$220,000.

Transcribed Image Text:

Date January 1, 2014 December 31, 2014 December 31, 2015 Fair Value HK$200,000 215,000 185,000 December 31, 2016 205,000