Cameo Manufacturers Inc a publicly listed company has

two machines #2110

Cameo Manufacturers Inc., a publicly listed company, has two machines that are accounted for
under the revaluation model. Technology in Cameo's industry is fast-changing, causing the fair
value of each machine to change significantly approximately every two years. The following
information is available:Both machines were last revalued on December 31, 2012. Cameo has a
December 31 year end.Instructions(a) Prepare the journal entries required for 2014, using the
asset adjusonent method.(b) Prepare the journal entries required for 2014, using the
proportionate method.(c) Comment on the effects on the 2014 statement of comprehensive
income with respect to parts (a) and (b).(d) Comment on the effects on the December 31,2014
statement of financial position with respect to parts (a) and (b).(e) Would a potential investor
prefer Cameo to use the asset adjustment method or the proportionate method to apply the
revaluation model?View Solution:
Cameo Manufacturers Inc a publicly listed company has two machines

ANSWER
http://paperinstant.com/downloads/cameo-manufacturers-inc-a-publicly-listed-company-has-two-
machines/

1/1
Powered by TCPDF (www.tcpdf.org)