Revaluation and Impairment

On January 1, 2010, a building was purchased at a cost of P12,000,000. The building had an estimated useful life of 40 years with no residual value. It was depreciated using straight-line method. On December 31, 2019, the building was revalued to have an P18,000,000 replacement cost and an estimated residual value of P1,200,000. There was no change in the estimated useful life. On December 21, 2024, the building is sold for P11,000,000 Required: 1 to 5 (Supply the missing amounts) Table-Dec. 31. 2019 Revaluation Cost Replacement Cost Appreciation Building Residual Value Depreciable Amount Accumulated Depreciation (3) Remaining Depreciable Amount (2) 6 to 10 Give the journal entry to record. 6. Revaluation on December 31, 2019. 7. Depreciation for 2020. 8. Piecemeal realization of revaluation surplus for 2020 9. Sale of building on December 31, 2024. 10. Realization of revaluation surplus resulting from disposal of building. Chart of Accounts: A Cash D Retained Earnings G Loss on Sale of Building B Building E Revaluation Surplus C Accumulated Dep'n-Bldg. F Depreciation Expense-Building On January 1, 2010, a building was purchased at a cost of P12,000,000. The building had an estimated useful life of 40 years with no residual value. It was depreciated using straight-line method. On December 31, 2019, the building was revalued to have an P18,000,000 replacement cost and an estimated residual value of P1,200,000. There was no change in the estimated useful life. On December 21, 2024, the building is sold for P11,000,000 Required: 1 to 5 (Supply the missing amounts) Table-Dec. 31. 2019 Revaluation Cost Replacement Cost Appreciation Building Residual Value Depreciable Amount Accumulated Depreciation (3) Remaining Depreciable Amount (2) 6 to 10 Give the journal entry to record. 6. Revaluation on December 31, 2019. 7. Depreciation for 2020. 8. Piecemeal realization of revaluation surplus for 2020 9. Sale of building on December 31, 2024. 10. Realization of revaluation surplus resulting from disposal of building. Chart of Accounts: A Cash D Retained Earnings G Loss on Sale of Building B Building E Revaluation Surplus C Accumulated Dep'n-Bldg. F Depreciation Expense-Building