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Elite Leisure is a private limited liability company that operates a single cruise ship. The...

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Accounting

Elite Leisure is a private limited liability company that operates a single cruise ship. The ship was acquired on 1 January 2009. Details of the cost of the ship's components and their estimated useful lives are:
\table[[component,\table[[original cost],[(million)]],depreciation basis],[,300,25 years straight-line],[ship's fabric (hull, decks etc.),150,12 years straight-line],[cabins and entertainment area fittings,100,useful life of 40,000 hours],[propulsion system,,]]
On 1 January 2017, the company took the opportunity to do a limited upgrade to the cabin and entertainment facilities at a cost of 60 million (assume that none of the old fittings have been replaced) and repaint the ship's fabric at a cost of 20 million. After the upgrade of the cabin and entertainment area fittings it was estimated that their remaining life was 5 years (from the date of the upgrade).
Calculate the carrying amount of the cabin of the ship at 31 December 2017 and the related amounts which should be recognized as expenses for the year ended.
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