1. On 1 January 2019, Cempedak Bhd purchased an investment property at a cost of...
50.1K
Verified Solution
Link Copied!
Question
Accounting
1. On 1 January 2019, Cempedak Bhd purchased an investment property at a cost of RM50m. It applies the fair value model to measure the investment property. On 31 December 2019, the market value of the investment property was RM60m. On 31 December 2020, the market value was RM55m. On 1 January 2021, the investment property is reclassified to property, plant and equipment. Required: Prepare journal entries to account for the purchase of the investment property, the change in the fair value of the investment property and the subsequent transfer to property, plant and equipment (10 marks)
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
