Oryx Investment Properties has three properties, details of which are listed below. The company uses the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Oryx Investment Properties has three properties, details of which are listed below. The company uses the cost model for property, plant and equipment and the fair value model for investment properties. All assets measured on the cost basis are depreciated on the straight-line basis over the asset's estimated useful life to nil residual values. There is no indication of impairment for any of its properties at 31 December every year. Property in Windhoek • This property was acquired on 1 January 2020 at a cost of N$3 750 000, with the intention of using the property as the company's administrative office. • At acquisition The property has an estimated useful life of 40 years. On 31 August 2020 the company decided to capitalize from its property by sub- letting it under an operating lease. At 31 December 2020, these property was revalued for N$ 4 200 000. Property in Rundu • This property was acquired on 1 July 2017 at a cost of N$ 5 100 000, with the intention of letting it out on a long-term basis. The property has an estimated useful life of 35 years. The fair value of the property at 31 December 2018 was N$ 7 650 000. •. During the year ended 31 December 2019, N$ 4 50 000 was spent upgrading the property. This has led to increases in the rent for the property and, as a result, its estimated fair value at 31 December 2019 is N$ 14 100 000. Oryx Investment Properties has three properties, details of which are listed below. The company uses the cost model for property, plant and equipment and the fair value model for investment properties. All assets measured on the cost basis are depreciated on the straight-line basis over the asset's estimated useful life to nil residual values. There is no indication of impairment for any of its properties at 31 December every year. Property in Windhoek • This property was acquired on 1 January 2020 at a cost of N$3 750 000, with the intention of using the property as the company's administrative office. • At acquisition The property has an estimated useful life of 40 years. On 31 August 2020 the company decided to capitalize from its property by sub- letting it under an operating lease. At 31 December 2020, these property was revalued for N$ 4 200 000. Property in Rundu • This property was acquired on 1 July 2017 at a cost of N$ 5 100 000, with the intention of letting it out on a long-term basis. The property has an estimated useful life of 35 years. The fair value of the property at 31 December 2018 was N$ 7 650 000. •. During the year ended 31 December 2019, N$ 4 50 000 was spent upgrading the property. This has led to increases in the rent for the property and, as a result, its estimated fair value at 31 December 2019 is N$ 14 100 000.
Expert Answer:
Answer rating: 100% (QA)
11 Journalizing the information for Oryx Investment Properties Property in Windhoek On January 1 202... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
What if: Lets return to the facts in the previous example where Courtneys share of CCS loss was $15,000, her tax basis in their CCS interest is $10,000, and her at-risk amount in the activity is also...
-
Melawati Corporation Bhd (MCB) acquired an office building (old building) on 1 January 2005 for RM4,000,000. It depreciates the building on the straight-line method over 50 years to a nil residual...
-
You are an investment analyst. A client of yours, Mr A, owns 3.5% of the share capital of Price. Price is a listed company and prepares financial statements in accordance with International...
-
An inverted pyramidal tank has an equilateral triangular base measuring 3 ft. on a side and an altitude of 7 ft. DSMIT adi a. How many gallons of water can the tank hold? b. What will be the wetted...
-
What is the difference between a production function and an isoquant?
-
Temple Limited has been offered two new contracts, the details of which are as follows: The fixed overhead has been apportioned on the basis of direct labour cost. Temple is a one-product firm. Its...
-
In marginal costing, fixed costs are apportioned on some arbitrary basis.
-
In a 1.25-T magnetic field directed vertically upward, a particle having a charge of magnitude 8.50 .C and initially moving northward at 4.75 km/s is deflected toward the east. (a) What is the sign...
-
1. Kirti invested Rs. 60,000 in a long term mutual fund with tax benefits under section 80C at an NAV of Rs. 45. Find the number of units acquired by him if there is entry load of 3%. (Oct. 18) (Ans....
-
David R. and Ella M. Cole (ages 39 and 38, respectively) are husband and wife who live at 1820 Elk Avenue, Denver, CO 80202. David is a self-employed consultant, specializing in retail management and...
-
A formal critical review of a scholarly journal article will be submitted. The article that is the subject of the paper will be published since 2015, and be on a topic related to management...
-
Classic Auto Parts sells new and used auto parts. Although a majority of its sales are cash sales, it makes a significant amount of credit sales. During 2012, its first year of operations, Classic...
-
The following information is available for Market Inc. and Supply Inc. at December 31, 2012: Required a. What is the accounts receivable turnover for each of the companies for 2012 ? b. What is the...
-
Buck Novak, the chief executive officer of Novak Corporation, has assembled his top advisers to evaluate an investment opportunity. The advisers expect the company to pay \($400,000\) cash at the...
-
Verify the log-likelihood in equation (16.4) for the Tobit model. In L = = In { 1-0 (x-di)} 1:y=di 122. + (y; - x) 02 (16.4) i:y;>di
-
Milo Company is considering the purchase of new equipment for its factory. It will cost \($250,000\) and have a \($50,000\) salvage value in five years. 1 he annual net income from the equipment is...
-
Calculate the Implied Rate of Return (IRR) of the following cash flows over the given time frame. Year o 1 2 3 4 5 6 7 -152790 -1293 2135 26574 56549 75855 90800 102031 14% 15% 16% 17% 18% None of...
-
Suppose the S&P 500 futures price is 1000, = 30%, r = 5%, = 5%, T = 1, and n = 3. a. What are the prices of European calls and puts for K = $1000? Why do you find the prices to be equal? b. What...
-
Jardine Matheson Group (Part 1) With its broad portfolio of market-leading businesses, the Jardine Matheson Group is an Asian-based conglomerate with extensive experience in the region. Its business...
-
Portofino Company made purchases on account from three foreign suppliers on December 15, 2009, with payment made on January 15, 2010. Information related to these purchases is as follows: Portofino...
-
How are costs associated with the issuance of bonds payable accounted for?
-
How does the asset structure of credit unions compare with the asset structure of commercial banks and savings institutions? Refer to Tables 25 , 29 , and 212 to formulate your answer. LO.1
-
What is the common bond membership qualification under which credit unions have been formed and operated? How does this qualification affect the operational objective of a credit union? LO.1
-
How do savings banks differ from savings associations? Differentiate in terms of risk, operating performance, balance sheet structure, and regulatory responsibility. LO.1
![Mobile App Logo](https://dsd5zvtm8ll6.cloudfront.net/includes/images/mobile/finalLogo.png)
Study smarter with the SolutionInn App