kau.3answer 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 theincrease in fair value.(Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "NoEntry" for the account titles and enter O for the amounts. List all debit entries before credit entries.)DateAccount Titles and ExplanationDecember31, 2023DecemberLoss on ImpairmentAccumulated Impairment Losses - EquipmentDepreciation Expense31, 2024DecemberAccumulated Depreciation - Equipment31, 2024Accumulated Impairment Losses - EquipmentRecovery of Loss from ImpairmentDebit1881000Credit1881000

Step 1:1. Journal Entry at December 31, 2023 to record asset impairment, if…

Answered: Assume that Pearl is a private company…

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization

Section: Chapter Questions

Problem 37P

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On December 31, 2020, Riverbed Inc. has a machine with a book value of $1,410,000. The original cost and related accumulated depreciation at this date are as follows. Machine $1,950,000 Less: Accumulated depreciation 540,000 Book value $1,410,000 Depreciation is computed at $90,000 per year on a straight-line basis. Presented below is a set of independent situations. For each independent situation, indicate the journal entry to be made to record the transaction. Make sure that depreciation entries are made to update the book value of the machine prior to its disposal. (a) Your answer is correct. A fire completely destroys the machine on August 31, 2021. An insurance settlement of $645,000 was received for this casualty. Assume the settlement was received immediately. (Credit account titles are automatically indented when 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.) Date Account Titles and…
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Splish Brothers Ltd. is a publicly listed company following IFRS. Assume that on December 31. 2020, the carrying amount of land on the statement of financial position (SFP) is $505.000. Management determines that the land's value in use is $435.000 and that the fair value less costs to sell is $400.000. Using the rational entity impairment model, prepare the journal entry required, if any, to record the impairment loss. (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 0 for the amounts.) Date Account Titles and Explanation Debit Credit December 31, 2020
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Subject: accounting
Crane Inc. owns assets to which it applies the revaluation model (asset-adjustment method). The following additional information is available: 1. The depreciation expense for 2024 was $6780. 2. Between December 31, 2023, and December 31, 2024, the property's fair value had increased by $33900. 3. The December 31, 2024, balance in the revaluation surplus account (prior to any fair value adjustments) was $2260. The adjusted December 31, 2024, balance in the related contra-asset account will be ○ $11300. $15820. ○ $0. ○ $13560.
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On July 1, 2020, Bridgeport Corporation purchased Johnson Company by paying $189,700 cash and issuing a $64,500 note payable to Steve Johnson. At July 1, 2020, the balance sheet of Johnson Company was as follows. Cash $38,100 Accounts payable $160,000 Accounts Receivable 67,500 Stockholders' equity 165,800 Inventory 75,800 $325,800 Land 29,400 Buildings (net) 55,200 Equipment (net) 52,200 Copyrights 7,600 $325,800 The recorded amounts all approximate current fair values except for land (worth $45,400), inventory (worth $94,900), and copyrights (worth $11,300).
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There are two Journal Entries 1) Prepare journal entries for Wember to record the impairment of its intangible assets at December 31, 2019 2) Prepare journal entries for Wember to record the amortization expense for its intangibles at December 31, 2020

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