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On January 1, 2019, Kong Company owned a machinery having a carrying amount of P240,000. The machine was purchased four years ago for P400,000. Kong uses straight-line depreciation. Kong determined that the machine suffered permanent impairment of its operational value and will not be economically useful in its production process after December 31, 2019. Kong sold the machine for P65,000 on January 5, 2020. The financial statements for 2019 were issued on February 15, 2020. In its statement of comprehensive income for the year ended December 31, 2019, Kong should recognize a loss of

On January 1, 2019, Kong Company owned a machinery having a carrying amount of P240,000. The machine was purchased four years ago for P400,000. Kong uses straight-line depreciation. Kong determined that the machine suffered permanent impairment of its operational value and will not be economically useful in its production process after December 31, 2019. Kong sold the machine for P65,000 on January 5, 2020. The financial statements for 2019 were issued on February 15, 2020. In its statement of comprehensive income for the year ended December 31, 2019, Kong should recognize a loss of

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 1, 2019, Kong Company owned a machinery having a carrying amount of P240,000. The machine was purchased four years ago for P400,000. Kong uses straight-line depreciation. Kong determined that the machine suffered permanent impairment of its operational value and will not be economically useful in its production process after December 31, 2019. Kong sold the machine for P65,000 on January 5, 2020. The financial statements for 2019 were issued on February 15, 2020. In its statement of comprehensive income for the year ended December 31, 2019,

Kong should recognize a loss of

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