Alpha company received government grants equipment equal
$400,000 on Jan. 1, 2020, the useful life of the equipment is 5
years. Prepare the required entry on Dec. 31, 2020
Equipment debit 400,000 and Government deferred revenue credit
400,000
None of the other answers.
Government deferred revenue debit 80,000 and Government grant
revenue credit 80,000
Depreciation expense debit 80,000 and Accumulated depreciation
credit 80,000
On Jan. 1, 2020, Alpha Co. acquired a building to rent it for
$300,000 cash, the useful life of the building is estimated 20
years, the fair value on Dec. 31, 2020 is 500,000. Prepare the
required journal entry on Dec. 31, 2020 using the fair value
model
Building debit 100,000 and Gain to recognize the fair value
100,000
None of the other answers.
Building debit 500,000 and Gain to recognize the fair value
500,000
Building debit 200,000 and Gain to recognize the fair value
200,000
Notes to the financial statements include the following
except
further information required by international standards.
None of the other answers.
measurement bases and other accounting policies.
additional information relevant to an understanding of the
financial statements.