Use the Following Information to Solve the Following Questions

question 43

Multiple Choice

Use the following information to solve the following questions:
Tunisia Inc. owns assets to which it applies the revaluation model (asset-adjustment method) . The following additional information is available:
1. Accumulated Depreciation at December 31, 2021, (prior to any fair value adjustments) was $ 12,000.
2. Between December 31, 2020, and December 31, 2021, the property's fair value had increased by $ 30,000.
3. The December 31, 2021, balance in the revaluation surplus account (prior to any fair value adjustments) was $ 2,000.
-The adjusted December 31, 2021, in the revaluation surplus account will be

• A) $ 0.
• B) $ 28,000.
• C) $ 30,000.
• D) $ 32,000.

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Definitions:

Probability (p)

The likelihood of a specific event or outcome occurring, expressed as a number between 0 and 1.

Hypothesis Testing

A statistical method used to make inferences or decisions about population parameters based on sample data, often involving testing an assumption or claim.

Research Hypothesis

A statement positing a relationship between variables or indicating differences among groups, which the research is designed to test.

Confirmation

The process of verifying that a theory, hypothesis, or finding is accurate and reliable through additional observation or experimentation.