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DEC 2014 MCQ-3

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › DEC 2014 MCQ-3

  • This topic has 1 reply, 2 voices, and was last updated 9 years ago by MikeLittle.
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  • February 24, 2016 at 3:35 pm #301852
    yushanshan
    Member
    • Topics: 84
    • Replies: 70
    • ☆☆

    Hi sir,
    As at 30 Sep 2014, the current price is 600k , I just wonder the reason why we need to go on depreciating.
    Thanks in advance.

    February 25, 2016 at 7:29 am #301951
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23321
    • ☆☆☆☆☆

    This is not a replacement cost exercise or the valuation method that we’re looking at. The concept of current cost accounting is to ask “What would be the value of a 2 year old asset if we had had to pay current prices?”

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