Ahn Corporation has a building classified as investment property. The building was acquired on January 1,...
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Ahn Corporation has a building classified as investment property. The building was acquired on January 1, 2017 at a cost of P60,000,000. The building has an estimated life of 25 years and nil residual value. The following information is available: Fair value Costs of disposal Value in use 12/31/2020 P50,000,000 P4,000,000 P43,000,000 12/31/2021 P55,000,000 P3,500,000 P39,500,000 1. Calculate the total expense to be recognized in 2020 profit or loss is Ahn used the cost model. 2. Calculate the total expense to be recognized in 2021 profit or loss is Ahn used the cost model. 3. Calculate the total expense to be recognized in 2021 profit or loss is Ahn used the fair model. Ahn Corporation has a building classified as investment property. The building was acquired on January 1, 2017 at a cost of P60,000,000. The building has an estimated life of 25 years and nil residual value. The following information is available: Fair value Costs of disposal Value in use 12/31/2020 P50,000,000 P4,000,000 P43,000,000 12/31/2021 P55,000,000 P3,500,000 P39,500,000 1. Calculate the total expense to be recognized in 2020 profit or loss is Ahn used the cost model. 2. Calculate the total expense to be recognized in 2021 profit or loss is Ahn used the cost model. 3. Calculate the total expense to be recognized in 2021 profit or loss is Ahn used the fair model.
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Related Book For
Accounting Principles
ISBN: 978-1118875056
12th edition
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso
Posted Date:
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