- This topic has 1 reply, 2 voices, and was last updated 1 year ago by .
Viewing 2 posts - 1 through 2 (of 2 total)
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.
Congratulations to Jamil from Pakistan and Jeeva from Malaysia - Global Prize winners!
see all ACCA December 2022 Genius Hunt Competition winners >>
Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>
Forums › Ask ACCA Tutor Forums › ACCA Ethics and Professional Skills Module › Disposal of non current assets,
Hello,
A question during the year to 30th June 20X7, Eugene Ltd sold a non current asset for $36000. It had been acquired three years ago at a cost of $ 180 000. At the date of disposal of the asset, the accumulated depreciation was $138,000. Find profit or loss on depreciation and make journal entries to record the disposal.
Profit or loss = NBV (180,000-138,000)
= 42,000
Selling price is $36,000 therefore loss of $6000 on Disposal.
For Journal Entries, Cash received, 36000 is debited, loss on disposal, 6000, debited, Accumulated Depreciation, 138000, debited and asset credited at disposal. 180,000.
Please correct if wrong, Thank you.
You need to post to the relevant forum. This forum is for queries about the Ethics and Professional Skills Module.