18 .We Company has a single investment property, which had original cost of P5,800,000 andestimated residual value of P200,000. on January 1, 2018. At Dec. 31, 2020, its fair value wasP6,000,000 and at December 31, 2021, it had fair value of P5,900,000. On acquisition date, theproperty has estimated useful life of 40 years. The company uses fair value model for itsinvestment property.what is the carrying value of the property at December 31, 2020?

In fair value method of investment property, the investment property would be valued at its fair…

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what is the carrying value of the property at December 31, 2020?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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.We Company has a single investment property, which had original cost of P5,800,000 and
estimated residual value of P200,000. on January 1, 2018. At Dec. 31, 2020, its fair value was
P6,000,000 and at December 31, 2021, it had fair value of P5,900,000. On acquisition date, the
property has estimated useful life of 40 years. The company uses fair value model for its
investment property.
what is the carrying value of the property at December 31, 2020?

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