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Parnell Company acquired construction equipment on January 1,2023 , at a cost of $75,100. The equipment was expected to have a useful life of five

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Parnell Company acquired construction equipment on January 1,2023 , at a cost of $75,100. The equipment was expected to have a useful life of five years and a residual value of $14,000 and is being depreciated on a straight-line basis. On January 1, 2024, the equipment was appraised and determined to have a fair value of $71,500, a salvage value of $14,000, and a remaining usefut life of four years. In measuring property, plant, and equipment subsequent to acquisition under IFRS. Parnell would opt to use the revaluation model in IAS 16 . Assume that Parnell Company is a U.S.-based company that is issuing securities to foreign investors who require financial statements prepared in accordance with IFRS. Thus, adjustments to convert from U.S. GAAP to IFRS must be made. Ignore income taxes Requlred: 0. Prepare journal entries for this equipment for the years ending December 31, 2023, and December 31, 2024, under (1) U.S. GAAP and (2) IFRS. b. Prepare the entry(tes) that Parnell would make on the December 31,2024, conversion worksheet to convert U.S. GAAP balances to IFRS Complete this question by entering your answers in the tabs below. Prepare journal entries for this equipment for the years ending December 31, 2023, and December 31, 2024, under (1) U.S. GAAP and (2) IFRS. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. 1 Record the entry for the surplus on revaluation of equipment due to conversion from U.S. GAAP to IFRS. Prepare the entry(ies) that Parnell would make on the December 31,2024 , conversion worksheet to convert U.S. GAAP balances to IFRS. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. 1 Record the entry for recording profit on revaluation of equipment due to conversion from U.S. GAAP to IFRS. 2 Record the entry for additional depreciation expense on revaluation of equipment due to conversion from U.S. GAAP to IFRS

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