Question: NOTE - THIS QUESTION CONTAINS TWO (2) SEPARATE and INDEPENDENT PARTS Part 1 Clarke Inc. owns an investment property with the following data: Cost -

NOTE - THIS QUESTION CONTAINS TWO (2) SEPARATE and INDEPENDENT PARTS

NOTE - THIS QUESTION CONTAINS TWO (2) SEPARATE and INDEPENDENT PARTS Part 1 Clarke Inc. owns an investment property with the following data: Cost - January 1, 2015 Fair value - December 31, 2015 Fair value - December 31, 2018 Fair value - December 31, 2020 $ $ $ $ 705,000 660,000 680,000 644,000 REQUIRED Assume that Clarke decides to apply the fair value model. Prepare the journal entry to record the initial investment. Also prepare the journal entries, if any, required for the dates indicated above. Date Description Dr Cr

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