On December 31, 2019, the statement of financial position of Twitter Corporation showed the following property and equipment after charging depreciation: Building P3,000,000 Accumulated depreciation (1,000,000) P2,000,000 Equipment 1,200,000 Accumulated depreciation (400,000) 800,000 The company has adopted the revaluation model for the valuation of property and equipment. This has resulted in the recognition in prior periods of an asset revaluation surplus for the building of P140,000. The company does not make a transfer to retained earnings in respect of realized revaluation surplus. On December 31, 2019, an independent valuer assessed the fair value of the building to be P1,600,000 and the equipment to be P900,000. The building and equipment had remaining useful lives of 25 years and 4 years, respectively, as of that date. The carrying amount of property and equipment as of December 31, 2020 is Group of answer choices P2,080,000 P2,500,000 P2,400,000 P2,211,000
1
On December 31, 2019, the
|
Building |
P3,000,000 |
|
|
|
(1,000,000) |
P2,000,000 |
|
Equipment |
1,200,000 |
|
|
Accumulated depreciation |
(400,000) |
800,000 |
The company has adopted the revaluation model for the valuation of property and equipment. This has resulted in the recognition in prior periods of an asset revaluation surplus for the building of P140,000. The company does not make a transfer to
On December 31, 2019, an independent valuer assessed the fair value of the building to be P1,600,000 and the equipment to be P900,000. The building and equipment had remaining useful lives of 25 years and 4 years, respectively, as of that date.
The carrying amount of property and equipment as of December 31, 2020 is
Group of answer choices
P2,080,000
P2,500,000
P2,400,000
P2,211,000
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