On January $1,2020,$ Peach Lid, purchased a machine for $$625,000.$ The machine had an estimated method of amertization. What wout

$$400,000$

$$408,000$

$$500,000$

$$510,000$

On January $1,2021,$ Pink Corp. purchased equipment for $$100,000.$ It plans to use the equipment for $5$ years even though the equipment would likely be useable for $8$ years if it were properly maintained. The estimated residual value at the end of $5$ years is $$15,000$ and the estimated salvage value at the end of the equipment's total life is $$2,000.$ What is amortization expense for $2021?$ Pink Corp uses straight line depreciation method and follows IFRS.

$$12,250$

$$17,000$

$$19,200$

$$20,000$

Accounting information is considered to be relevant when it

a$)$ can be depended on to represent the economic conditions and events that it is intended to represent.

b$)$ is capable of making a difference in a decision.

c$)$ is understandable by reasonably informed users of accounting information.

d$)$ is verifiable and neutral.

Materiality refers to

a$)$ the tangible nature of an item.

b$)$ representational faithfulness.

c$)$ the decision$-$making relevance of a piece of information.

d$)$ None of these describe materiality.

Fair value $($of an asset$)$ is

a$)$ an entry price.

b$)$ an entity$-$specific measure.

c$)$ an exit price.

d$)$ not used when following IFRS of each of the next $10$ months. What is the monthly rate of interest that Fiddler Compan

a$)2\%$

$,5\%$