Question
The Valient Corporation uses the revaluation model for their land holdings. They currently have two parcels of land, both purchased in 20x0. Data for the
The Valient Corporation uses the revaluation model for their land holdings. They
currently have two parcels of land, both purchased in 20x0. Data for the two land parcels
are as follows:
Land 1 Land 2
Original cost - 20x0 $500,000 $350,000
Fair value - Dec 31, 20x2 640,000 390,000
Fair value - Dec 31, 20x4 720,000 300,000
Fair value - Dec 31, 20x6 680,000 330,000
On July 14, 20x7, Land 1 was sold for $710,000.
Write the journal entries to reflect all of the above. You do not need to write the 20x0
land purchase journal entries
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Accounting Volume 2
Authors: James Reeve, Jonathan Duchac, Sheila Elworthy, Carl S. Warren
2nd Canadian edition
176501452, 978-0176501457, 978-0176509743
