A parent entity group sold a depreciable non-current asset to a subsidiary entity for $5 300. The asset originally cost $7 000 when acquired from an external party and at the date of the intragroup sale the accumulated depreciation was $2 200. The amount of the unrealised gain on the intragroup sale to be eliminated is:
A) $500.
B) $2 200.
C) $4 800.
D) $5 300.

Question

Quizplus · Accepted Answer

The Answer is A

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