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11. Takatak, Inc., uses the group depreciation method for its furniture account. The depreciation rate used for furniture is 21%. The balance in the furniture

11.

Takatak, Inc., uses the group depreciation method for

its furniture account.

The depreciation rate used for

furniture is 21%.

The balance in the furniture account

on December 31, 2016, was P125,000, and the

balance in Accumulated Depreciation - Furniture was

P61,000.

The following purchases and dispositions of

furniture occurred in 2017 (assume that all purchases

and disposals occurred at the beginning of each year).

Assets Sold

Assets Purchased

Cost

Selling Price

P35,000

P27,000

P8,000

The carrying amount of furniture at December 31,

2017 is

a.

P71,070

c.

P63,070

b.

P64,750

d.

P44,070

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