Use the Following Information for Questions

question 37

Multiple Choice

Use the following information for questions.
Simpson Company applies revaluation accounting to plant assets with a carrying value of $800,000, a useful life of 4 years, and no salvage value.Depreciation is calculated on the straight-line basis.At the end of year 1, independent appraisers determine that the asset has a fair value of $750,000.
-The journal entry to adjust the plant assets to fair value and record revaluation surplus in year one will include a

• A)debit to Accumulated Depreciation for $50,000.
• B)credit to Depreciation Expense for $150,000.
• C)credit to Plant Assets for $150,000.
• D)credit to Revaluation Surplus for $150,000.

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Definitions:

Trait-Oriented Performance Appraisals

An evaluation method focusing on the individual characteristics of an employee, such as attitudes, personality traits, and behaviors, rather than objective output.

Behavior-Oriented

An approach or methodology that focuses on analyzing and modifying observable and measurable behaviors.

Legal Viewpoint

Legal viewpoint refers to the perspective or approach adopted based on laws and legal considerations, typically concerning rights, obligations, and compliance.

Employer Drug Testing

The process by which employers test potential or current employees for the use of illicit drugs as a condition of employment or for workplace safety.