Seaside company applied revaluation accounting to plant asset with carrying amount of 4,000,000 on January 1, 2017, useful life of 4 years and no residual value. Depreciation is calculated on the straight line basis. On December 31, 2017, independent appraisers determined that the asset has a fair value of 3,750,000. What is the amount of revaluation surplus credited in the journal entry to record the revaluation on December 31, 2017?

Seaside company applied revaluation accounting to plant asset with carrying amount of 4,000,000 on January 1, 2017, useful life of 4 years and no residual value. Depreciation is calculated on the straight line basis. On December 31, 2017, independent appraisers determined that the asset has a fair value of 3,750,000. What is the amount of revaluation surplus credited in the journal entry to record the revaluation on December 31, 2017?

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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