An entity purchased property for $6 million on 1 July 20X3. The land element of the purchasewas $1 million. The expected life of the building was 50 years and its residual value nil. On30 June 20X5 the property was revalued to $7 million, of which the land element was$1.24 million and the buildings $5.76 million. On 30 June 20X7, the property was sold for$6.8 million.What is the gain on disposal of the property that would be reported in the statement ofprofit or loss for the year to 30 June 20X7?A Gain $40,000B Loss $200,000C Gain $1,000,000D Gain $1,240,000

On 1 January 20X0 an asset that had a useful life of five years and a cost of $100 000, had a carrying value of $60 000. (The asset had been depreciated for two years at $20 000 per annum). On 1 January 20X0 it was decided to revalue the asset upwards to $90 000 with no change in its useful life. A year after the revaluation on 1 January 20X1 the asset was sold for $80 000. Under the provisions of AASB 116, the gain or loss on disposal is:

A company sells a plant asset which originally cost Sh 240,000 for Sh 80,000 on December 31, 2022. The Accumulated Depreciation account had a balance of Sh 96,000 after the current year's depreciation of Sh 24,000 had been recorded. The company should recognize a A. Sh 40,000 loss on disposal B. Sh 160,000 loss on disposal C. Sh 64,000 gain on disposal D. There will no loss or gain on disposal E. Sh 64,000 loss on disposal

A gain or loss on disposal of a plant asset is determined by comparing theGroup of answer choicesoriginal cost of the asset with the proceeds received from its sale.replacement cost of the asset with the asset's original cost.book value of the asset with the proceeds received from its sale.book value of the asset with the asset's original cost.

If a plant asset is retired before it is fully depreciated and no salvage value is received,Group of answer choicesa gain on disposal occurs.neither a gain nor a loss occurs.a loss on disposal occurs.either a gain or a loss can occur.

A pizza outlet has a delivery truck that was purchased on January 1, 2013 for $50,000. The truck was depreciated using the straight-line method. The residual value expected at the end of its 10-year useful life was $5,000. On January 1, 2020, the truck was exchanged for a used SUV with a fair value of $20,000. What was the gain or loss that occurred as a result of the exchange?Select answer from the options belowloss on disposal, $1,500 gain on disposal, $1,500 loss on disposal, $3,500 gain on disposal, $6,500