Wilson Inc Wishes to Use the Revaluation Model for This

question 12

Multiple Choice

Wilson Inc wishes to use the revaluation model for this property: The fair value for the property is $140,000. Using straight-line depreciation and assuming that the property has a remaining depreciable life of 5 years, how much would be booked to accumulated depreciation in the year subsequent to the revaluation?

• A)$16,000 debit
• B)$16,000 credit
• C)$28,000 credit
• D)$28,000 debit

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Definitions:

National Industrial Recovery Act

A 1933 U.S. legislation aimed at boosting economic growth during the Great Depression through industrial codes of fair competition and promoting the establishment of labor standards.

Unconstitutional

Actions, laws, or policies that do not conform to the principles or provisions outlined in a country's constitution, thus deemed invalid or illegal.

Codes of Fair Competition

Regulations or standards designed to ensure fair practices in business and industry, often relating to labor and trade.

Railway Labor Act

A United States federal law that aims to substitute bargaining, arbitration, and mediation for strikes in resolving labor disputes in the railway and airline industries.