In December 20x8, the Ayala Co. purchased land for P300,000. The land was held until December 20x9, when it was sold for P400,000. The historical cost/constant peso statement of profit or loss for the year ended December 31, 20x9, should include how much gain or loss on this sale? *
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- In December 20x8, the Aliz Co. purchased land for P300,000. The land was held until December 20x9, when it was sold for P400,000. The historical cost/constant peso statement of profit or loss for the year ended December 31, 20x9, should include how much gain or loss on this sale? At both the beginning and the end of the year, Mary Co.'s monetary assets exceeded monetary liabilities by P3,000,000. On January 1, the general price level was 125. On December 31, the general price level was 150. How much was Mary's purchasing power loss on net monetary items during the year?Comparable Sale A was recently sold for $736,291. Assume the PGI of the property is $162,064 and its effective gross income is $80,239. The operating expense ratio of the property is 83%. What is the effective gross income multiplier of Sale A?Mohave Inc. purchased land, building, and equipment from Laguna Corporation for a cash payment of $315,000. The estimated fair values of the assets are land, $60,000; building, $220,000; and equipment, $80,000. Journalize the purchase using the relative sales value method. Date Account Debit Credit MM/DD/YY 6 of 9
- On June 7, 2006, Hawk Corporation sold a tract of land for P70,000 that resulted in a P30,000 gain on the sale. Hawk agreed to accept one payment of P35,000 on August 15 and a second payment of P35,000 on December 15. Hawk had a calendar year-end. What amount of gain was reported during the second, third, and fourth quarters of the year from this sale? P30,000, P0 and P0. P10,000, P10,000 and P10,000. P0, P15,000 and P15,000. P7,500 for each of four quarters.Red Corp purchased land for $600,000 some years ago. Fair value was $800,000 at the beginning of this year and $350,000 at the end of this year. The entry to record this year's revaluation adjustment would include: O A Debit to Revaluation Surplus OCI of $200,000 O ADebit to Revaluation Surplus OCI of $450,000 O ADebit to Loss on Land revaluation of 450,000 O A Credit to Land of $250 000Referring to PA7 where Kenzie Company purchased a 3-D printer for $450,000, consider how the purchase of the printer impacts not only depreciation expense each year but also the assets book value. What amount will be recorded as depreciation expense each year, and what will the book value be at the end of each year after depreciation is recorded?
- On May 7, 2021, Jimin Corporation sold a tract of land for P70,000 that resulted in a P30,000 gain on the sale. PTD agreed to accept one payment of P35,000 on August 15 and a second payment of P35,000 on December 15. PTD had a calendar year-end. What amount of gain was reported during the second, third, and fourth quarters of the year from this sale?QUESTION 5 Below are relevant extracts from Pitzer Bhd's financial statements for the financial year ended 31 December 2020 and 31 December 2021: 2020 (RM) 2021 (RM) ASSETS: Freehold land Plant and machinery at cost Inventories Bank Tax recoverable 386,000 182,000 44,000 13,000 6,000 20,000 86,400 737,400 477,000 212,000 52,000 55,000 Fixed deposits Account receivables 27,000 97,200 920,200 LIABILITIES & EQUITIES Ordinary Share Capital General reserve Retained earnings 5% Bank loan Bank overdraft Account payables Tax payable Accumulated depreciation of Plant & Machinery 264,000 112,420 36,400 169,400 13,400 69,780 364,000 112,420 135,280 135,400 7,600 62,340 9,960 93,200 920,200 72,000 737,400The following balances were extracted from the books of Billion Precision for the year ended 31 December 2020. Dr (RM) Cr (RM) Land 500000 Building 200000 Motor vehicles 120000 Plant and machinery 70000 Profit b/f as at 01.01.2020 237650 Capital 438000 Acc depreciation as at 1.1.2020 : Dr (RM) Cr (RM) Building 60 000 Motor vehicles 69250 Plant and machinery 40000 Returns 3600 4100 Revenue 800000 Purchases 400000 Discounts 5000 Carriage Inwards 7700 Opening Inventory 52000 Provision for bad debts 2000 Trade receivables / Trade payable 66000 43200 Advertising 18000 Staff training course 4000 Bad Debts 12500 Motor Expenses 27000 Rental 90000 Bank 7600 Wages & Salaries 126000 1701800 1701800 Additional information:i. The provision for bad debts should be 4% of trade receivables.ii. Depreciation is to be charged as follows:-Buildings 2% on cost.-Plant and machinery 20% on…
- An undeveloped land in Cabanatuan City, Nueva Ecija bought by XYZ Developer Corporation for ₱450,000 was held for four years and sold for ₱1,062,500. During this time property tax was paid that was, on the average, 0.4% of the purchase price. Inflation in this time period averaged 7% and the income tax was 15.2% of the long-term capital gain. What rate of return was obtained on the investment? Ferdinand deposits a sum of ₱20,000 at the interest rate of 18% compounded annually for 10 years. Find the maturity value after 10 years. A bank gives a loan to a company to purchase an equipment worth ₱1,000,000 at an interest rate of 18% compounded annually. This amount should be repaid in 15 yearly equal installments. Find the installment amount that the company has to pay to the bank.During the current year an entity sold a piece of equipment used in production. The equipment had been accounted for using the revaluation method and details of the accounts and sale are presented below: Sales price P100,000 Equipment carrying amount (net) 90,000 Revaluation surplus 20,000 Which of the following is correct regarding recording the sale? O The gain that should be recorded in profit and loss is P30,000 O The gain that should be recorded in other comprehensive income is P10,000 O The gain that should be recorded in other comprehensive income is P30,000 O The gain that should be recorded in profit and loss is P10,000; the P20,000 revaluation surplus may be transferred to retained earnings.Sansoni Services exchanged an asset with cost of $20,000 (now 30% depreciated) for a similar asset worth $18,000. Sansoni received $2,000 boot. In the entry to record this exchange, Sansoni should record a. A $6,000 gain b. A $600 gain c. No gain or loss d. A $600 loss