A Parent Entity Group Sold a Depreciable Non-Current Asset to a Subsidiary

question 8

Multiple Choice

A parent entity group sold a depreciable non-current asset to a subsidiary entity for $2 800. The asset originally cost $3 000 when acquired from an external party and at the date of intragroup sale the accumulated depreciation was $500. The amount of the unrealised gain on the intragroup sale to be eliminated is:

• A) $2 800.
• B) $500.
• C) $300.
• D) $200.

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Definitions:

Best Group Member

An individual within a team or group who exemplifies high performance and positive contributions, often characterized by strong collaboration and leadership skills.

Diverse Groups

Collections of individuals who differ from one another in various dimensions, including but not limited to race, ethnicity, gender, age, and culture.

Cohesive

Refers to how well elements stick together, creating a unified whole.

Productive

The state of being able to produce a significant amount or result, especially in terms of work or economic output.