Question

Bella

想請問9-27和9-28的第二小題🙏

E 9-27
LO (12
Determining the Revaluation Surplus
An independent appraiser determines that the fair value of a set of machines in Riga Company is
labom 1200 €40,000 at the end of 2022. At that time, the carrying amount of these machines is €20,000 (cost:
Sulev sdi gnt €70,000, accumulated depreciation: €50,000), with a useful life of 10 years, and residual value of
ob vily €5,000. Shortly, Riga Company decides to apply revaluation to the machine. Help Riga Company to
vino ziggs record the revaluation surplus.
E 9-28
LO 12
Revaluation of Plant Assets
Merody Company acquired equipment on January 1, 2021, for €60,000. This equipment is being
depreciated on a straight-line basis over its six-year useful life. There is no residual value at the
end of the 6-year period. The appraised value of the equipment approximates the carrying amount
at December 31, 2021. On December 31, 2022, the fair value of the equipment is determined to be
€50,000. Merody decides to elect to value this class of equipment using revaluation model.
Required:
2921019x3
3619
1. Prepare the journal entries for 2021 related to the equipment.
2. Prepare the journal entries for 2022 related to the equipment.