REPTILE COMPANY acquired a machine on January 1, 2018 for P5,250,000. It was to be depreciated using the straight-line method and no residual value was expected at the end of its useful life of 15 years. The fair value which was likewise the asset’s net recoverable amount were as follows: January 1, 2020. P4,975,000; January 1, 2022, P3,872,000; January 1, 2025, P2,600,000 Prepare all the necessary journal entries from 2018 – 2025 Depreciation expense 2018 – 2025 Impairment reported as a loss included in P&L 2020 – 2025

REPTILE COMPANY acquired a machine on January 1, 2018 for P5,250,000. It was to be depreciated using the straight-line method and no residual value was expected at the end of its useful life of 15 years. The fair value which was likewise the asset’s net recoverable amount were as follows: January 1, 2020. P4,975,000; January 1, 2022, P3,872,000; January 1, 2025, P2,600,000 Prepare all the necessary journal entries from 2018 – 2025 Depreciation expense 2018 – 2025 Impairment reported as a loss included in P&L 2020 – 2025

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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