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  3. at december 31, 2-36. lakers, inc. purchased a mac

At December 31, 2-36. Lakers, Inc. purchased a machinery on January 1, 2019, at a...

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Accounting

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At December 31, 2-36. Lakers, Inc. purchased a machinery on January 1, 2019, at a cost of P1,000,000. It is being depreciated using the straight-line method over its projected useful life of 10 years. 2019, the asset's fair value was P1,125,000. Accordingly, an entry was made on that date to recognize the revaluation surplus. It is the company policy to transfer a portion of revaluation surplus to retained earnings every period. An impairment was detected on December 31, 2021 and the recoverable amount of the asset was determined to be P673,750. At December 31, 2022, the fair value of the asset was determined to be P730,000. REQUIRED: (a) (b) What amount of revaluation surplus should be credited directly to equity on December 31, 2019? What is the amount of impairment loss to be reported by Lakers on December 31, 2021? How much is recognized as revaluation surplus on December 31, 2022 (c)

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