Hale Company uses IFRS. After 5 full years of use, Hale Company revalues equipment with a carrying value of $930,000 to its fair value of $1,300,000 using the accumulated depreciation elimination method. The original cost of the equipment is $1,300,000 and the equipment has a useful life of 10 years with no scrap value. Hale Company depreciates under the straight-line method. What is the new annual depreciation expense after the revaluation?
A) $0
B) $93,000
C) $130,000
D) $260,000

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The Answer of Hale Company uses IFRS. After 5 full years of use, Hale Company revalues equipment with a carrying value of $930,000 to its fair value of $1,300,000 using the accumulated depreciation elimination method. The original cost of the equipment is $1,300,000 and the equipment has a useful life of 10 years with no scrap value. Hale Company depreciates under the straight-line method. What is the new annual depreciation expense after the revaluation?
A) $0
B) $93,000
C) $130,000
D) $260,000

Hale Company Uses IFRS