Which of the following values should be used for the asset in DE’s statement of financial position as at 31 December 20X3?

DE purchased an asset on 1 January 20X1 for $60,000 with a useful economic life of six years and a residual value of $3,000.

DE uses straight line depreciation for this asset.

On 31 December 20X3 the asset has a value in use of $ $28,000 and a fair value of $26,000.

Which of the following values should be used for the asset in DE’s statement of financial position as at 31 December 20X3?
A . $28,000
B . $26,000
C . $30,000
D . $31,500

View Answer

Answer: A