e) On January 1, 2017 Bambo Ltd purchased a building for its investment potential. The building...
e) On January 1, 2017 Bambo Ltd purchased a building for its
investment potential. The building cost GH¢ 1 million with
transaction costs of GH¢ 10,000. Its depreciable amount at this
date was GH¢ 300,000. The property has a useful life of 50 years.
At 31 December 2018, the property’s fair value had risen to GH¢ 1.3
million. During the year 2018 the property was sold for GH¢
1,550,000, and that selling costs were GH¢ 50,000.
Required What amounts would be included in the statement of
comprehensive income for 2018 in respect of this disposal under i.
the cost model and ii. the fair value
model
Homework Answers
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e) On January 1, 2017 Bambo Ltd purchased a building for its
investment potential. The building...
2) In January 2018, Milk Ltd purchased 20 million £1 listed equity shares at a price...
2) In January 2018, Milk Ltd purchased 20 million £1 listed equity shares at a price of £2 per share. The shares were bought as a source of dividend income and were the subject of an irrevocable election at initial recognition to recognise them at fair value through other comprehensive income. Transaction costs were £3m. At 31 December 2018, the shares were trading at £2.50. On 31 December 2018 Milk Ltd received a dividend of from these shares of 5p...
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On 1 July 2017, Norwich Ltd paid $80,000 cash to acquire a machine. On this date...
On 1 July 2017, Norwich Ltd paid $80,000 cash to acquire a machine. On this date it was estimated that the machine had a useful life of ten years and a residual value of $10,000. In accordance with AASB 116 Property, Plant and Equipment, Norwich Ltd uses the revaluation model as its accounting policy to measure items of property, plant and equipment and the straight-line method of depreciation. Norwich Ltd has a 30 June reporting date. An independent valuer provided...
xxx ltd acquired 100% of the issued capital of AAA LTD on 1 July 2017 at...
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Financial accounting
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2) In January 2018, Milk Ltd purchased 20 million £1 listed equity shares at a price of £2 per share. The shares were bought as a source of dividend income and were the subject of an irrevocable election at initial recognition to recognise them at fair value through other comprehensive income. Transaction costs were £3m. At 31 December 2018, the shares were trading at £2.50. On 31 December 2018 Milk Ltd received a dividend of from these shares of 5p...
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