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Required information AP 8 - 4 ( Algo ) Inferring Depreciation Amounts and Determining the Effects of a Depreciation Error on Key Ratios LO 8
Required information
APAlgo Inferring Depreciation Amounts and Determining the Effects of a Depreciation Error on Key Ratios LO
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The Gorge, Incorporated, is a global retailer of apparel, accessories, and personal care products for women, men, and children. The Company operates approximately stores across the globe, as well as online. The following is a note from a recent annual report:
Note Additional Financial Statement Information
Property and Equipment
Property and equipment are stated at cost less accumulated depreciation and consist of the following:
$ in millions Current Year Prior Year
Leasehold improvements $ $
Furniture and equipment
Software
Land, buildings, and building improvements
Constructioninprogress
Property and equipment, at cost
Less: Accumulated depreciation
Property and equipment, net of accumulated depreciation $ $
AP Part
Required:
Assuming The Gorge, Incorporated, had no asset impairment writeoffs and sold property, plant, and equipment in the most recent year with a cost of $ million and an accumulated depreciation of $ million, what was the amount of depreciation expense recorded in the current year?
Note: Enter your answer in millions.
I tried accumulated depreciatione of current year accumulated depreciation of pervious year and got as well, but that is not the correct answer.
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