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can you please give me explination for the solutions? Question: AAA Corporation constructed a new building. The detail.cost and other informations as below The depreciation
can you please give me explination for the solutions?
Question: AAA Corporation constructed a new building. The detail.cost and other informations as below The depreciation method is the straight line method Whole buildinal Total Cost $20,000,000, Useful Life 40 yrs. Residual Value 50 Component - Surfaces) Cost 5% of total cost, Useful Life 10 years Compot - HVAC.ml Cost: 15% of total cost. Useful Life: 20 years Please answer the following questions under IFRS my What is the annual depreciation amount using the component depreciation? 2Prepare the journal entry to account for the depreciation in the first [3] What is the balance sheet presentation of this building in the first year? year Solutions and Supporting plants 1 Totalco 50.000.000 Ide- Sures Cod. 90.000.000 1.000.000 Le 10 $1,000,000./10 $100.000 IVAC Co-00,000154 3.000.000 Life 0.000/30 = $150.000 O 0 R. U Others Cost S16,000.000 Life 40 years Depreciation $16,000,000/ 40 $400,000 Total anual Depreciation $100,000 150,000 400,000 650,000 3 Dec. 31 650.000 Depercition Expense Accumulated Depreciation -- Building 650,000 3. PPRE Les committed Depreciation Book Valur 520.000.000 $ 650.000 $19.250.000 o c - GE 1 3 0 R. T. Y Step by Step Solution
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