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Admin
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Posts : 638
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Join date : 2010-05-15
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Location : islamabad

MGT401 GDB SOLUTION Empty
PostSubject: MGT401 GDB SOLUTION   MGT401 GDB SOLUTION Icon_minitimeWed Jun 30, 2010 6:24 am

debit : asset value by 30000
credit : revaluation surplus by :30000
every year we can charge depreciation 150000/20=7500
if we compare it with depreciation on previous value of 12000 then
120000/20=6000
the difference can be reduced from surplus account and realized as
retained earning.

Debit: revaluation surplus: 1500
credit retained earning: 1500.


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