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  3. gemart ltd acquired a printing machine on 1 july 2

Gemart Ltd acquired a printing machine on 1 July 2014 for $200,000. It is expected...

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Accounting

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Gemart Ltd acquired a printing machine on 1 July 2014 for $200,000. It is expected to have a useful life of 5 years, with the benefits being derived on a straight-line basis. The residual value is expected to be Snil. Additional information: . . On 1 July 2016 the machine is deemed to have a fair value of $150,000 and a revaluation is undertaken in accordance with Gemart Ltd's policy of measuring property, plant and equipment at fair value. On 1 July 2018 the asset is sold for $120,000 Genmart Ltd prepares a single income statement. Genmart Ltd has always adopted the revaluation model for the machinery class of assets. Ignore the taxation impact of transactions and events. . Required: (a) Provide the journal entries necessary to account for the above transactions and events from 1 July 2014 to 30 June 2015 (2 marks) (b) Provide the journal entries necessary to account for the above transactions and events from 1 July 2015 to 30 June 2017 (6 marks)

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