Sage Hill Assets Inc, a publicly listed company, has a building with an initial cost of $$395,000.$ At December $31,2020,$ the date of

revaluation, accumulated depreciation amounted to $$109,000.$ The fair value of the building, by comparing it with transactions

involving similar assets, is assessed to be $$303,600.$ On January $5,2021,$ Sape Hill sold the building for $$298,600$ cash.

Your answer is partially correct.

Prepare the journal entries to record the sale of the building after having used the cost model. $($Credit account titles are

automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titiles

and enter $0$ for the amounts.$)$

Date Account Titles and Explanation

Debit

Credit

Jan.

$5$

$298600$

Accumuletad Doproclation $-$ Buldince

$119,900$

$]$

$\sqrt[\phantom{2}]{385000}$

Caln on Dlsgocal of Bullaling

${\displaystyle \underset{\phantom{}}{\overset{\phantom{}}{}}}22600$

eTextbook and Media

List of Accounts

Your answer is partially correct.

Prepare the journal entries to record the sale of the building after having used the revaluation model using the asset adjustment:

mathod. $($Credit account titles are qutomatically indented when the amount is entered. Do not indent manually. If no entry is required,

select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

Date

Account Titles and Explanation

Debit

Credit

Jan.

Cosh

Loss on Dlsposel of Bullding

eTextbook and Medla

Llst of Accounts