QUESTION 2: PPE REVALUATION (15 MARKS)

In the 30 June 2019 annual report of Sydney Ltd reported the following:

Plant (at cost)

500 000

Accumulated Depreciation

(100 000)

400 000

Plants are measured using the cost model, and depreciated on a straight-line basis over a 10-year period. At 30 June 2019, Plant was assessed to have a fair value of $420 000 with an expected useful life of 7 years. At 30 June 2020, Plant was assessed to have a fair value of $ 330 000

Required

Prepare the journal entries during the period 30 June 2019 to 30 June 2020 in relation to the Plant. (Please ignore the tax effect.)

QUESTION 2: PPE REVALUATION (15 MARKS) In the 30 June 2019 annual report of Sydney Lid reported the following: Plant (at cost) 500 000 Accumulated Depreciation (100 000) 400 000 Plants are measured using the cost model and depreciated on a straight-line basis over a 10- year period. At 30 June 2019, Plant was assessed to have a fair value of $420 000 with an expected useful life of 7 years. At 30 June 2020, Plant was assessed to have a fair value of $ 330 000 Required Prepare the journal entries during the period 30 June 2019 to 30 June 2020 in relation to the Plant. (Please ignore the tax effect.) DATE ACCOUNT NAME DR ($) CR ($)