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fresco juen 2012

Jjosy8710y ago
Hi Sir for the plant under financial lease, why the amortisation is 25 000/5 years? the question said 4 years. why the answer is 5 years? thanks
MikeLittleMikeLittleTutor10y ago#1
I'm going to ask you to read the second paragraph in note (ii) of the question and then tell me for how many years this plant is being leased
Jjosy8710y ago#2
4 years
MikeLittleMikeLittleTutor10y ago#3
is that "a further 4 years"?
Jjosy8710y ago#4
yes, does that means,5 years, this year and the following 4 years? sorry sir english is not my first language.
MikeLittleMikeLittleTutor10y ago#5
Don't apologise - there's no need! Yes, when a question tells you that there has been a payment made with "a further four payments to be made" that's just an alternative way of saying that "a payment has been made and there will be four more" There - you've learned something that you may very well come across in the future!
Jjosy8710y ago#6
thanks Sir
MikeLittleMikeLittleTutor10y ago#7
Josy, it's "Mike" not "Sir"!
Jjosy8710y ago#8
ok Mike. sorry
MikeLittleMikeLittleTutor10y ago#9
No problem :-)
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