Homework Help is Here – Start Your Trial Now!
Business
Accounting
Assume that Pearl is a private company that follows ASPE. 1. Prepare the journal entry at December 31, 2023, to record asset impairment, if any. 2. Prepare the journal entry to record depreciation expense for 2024. 3. The equipment's fair value at December 31, 2024, is $7.41 million. Prepare the journal entry, if any, to record the increase in fair value. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles and Explanation December 31, 2023 December Loss on Impairment Accumulated Impairment Losses - Equipment Depreciation Expense 31, 2024 December Accumulated Depreciation - Equipment 31, 2024 Accumulated Impairment Losses - Equipment Recovery of Loss from Impairment Debit 1881000 Credit 1881000

Assume that Pearl is a private company that follows ASPE. 1. Prepare the journal entry at December 31, 2023, to record asset impairment, if any. 2. Prepare the journal entry to record depreciation expense for 2024. 3. The equipment's fair value at December 31, 2024, is $7.41 million. Prepare the journal entry, if any, to record the increase in fair value. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles and Explanation December 31, 2023 December Loss on Impairment Accumulated Impairment Losses - Equipment Depreciation Expense 31, 2024 December Accumulated Depreciation - Equipment 31, 2024 Accumulated Impairment Losses - Equipment Recovery of Loss from Impairment Debit 1881000 Credit 1881000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

kau.3

answer must be in table format or i will give down vote 

 

Assume that Pearl is a private company that follows ASPE. 1. Prepare the journal entry at December 31, 2023, to record asset impairment, if any. 2. Prepare the journal entry to record depreciation expense for 2024. 3. The equipment's fair value at December 31, 2024, is $7.41 million. Prepare the journal entry, if any, to record the increase in fair value. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles and Explanation December 31, 2023 December Loss on Impairment Accumulated Impairment Losses - Equipment Depreciation Expense 31, 2024 December Accumulated Depreciation - Equipment 31, 2024 Accumulated Impairment Losses - Equipment Recovery of Loss from Impairment Debit 1881000 Credit 1881000
Transcribed Image Text:Assume that Pearl is a private company that follows ASPE. 1. Prepare the journal entry at December 31, 2023, to record asset impairment, if any. 2. Prepare the journal entry to record depreciation expense for 2024. 3. The equipment's fair value at December 31, 2024, is $7.41 million. Prepare the journal entry, if any, to record the increase in fair value. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) Date Account Titles and Explanation December 31, 2023 December Loss on Impairment Accumulated Impairment Losses - Equipment Depreciation Expense 31, 2024 December Accumulated Depreciation - Equipment 31, 2024 Accumulated Impairment Losses - Equipment Recovery of Loss from Impairment Debit 1881000 Credit 1881000
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS