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carrying amount

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › carrying amount

  • This topic has 1 reply, 2 voices, and was last updated 9 years ago by John Moffat.
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  • November 30, 2016 at 10:39 pm #352723
    hadiraza982
    Member
    • Topics: 14
    • Replies: 10
    • ☆

    Hi Mr John,
    can you please help me understand this question
    At 30 September 2002,the following balances existed: plant and equipment cost $860,000
    Accumulated depreciation,$397,000.During the year ended 30 September 2003,plant with a written down value of $37000 was sold for 49,000. The plant had originally cost $80,000
    Plant purchased during the year cost $180,000.the policy is to charge a full years depreciation in the year of acquisition of an asset and none in the year of sale, using 10% on the straight line basis.

    December 1, 2016 at 7:07 am #352766
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54835
    • ☆☆☆☆☆

    You need to watch my free lectures on depreciation where everything in this question is explained – I cannot type out all the lectures here 🙂

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