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Not understanding – Question 19/ part A/ June 2015 Pilot paper/ video

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Not understanding – Question 19/ part A/ June 2015 Pilot paper/ video

  • This topic has 3 replies, 2 voices, and was last updated 10 years ago by AvatarJohn Moffat.
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  • March 10, 2016 at 12:22 pm #305240
    AvatarJana
    Member
    • Topics: 30
    • Replies: 18
    • ☆

    Hi Sir,

    I don’t understand the working you wrote in the whiteboard in video in Question 19, part A -2015 June.

    the figure: at End period: $3.6 Milion + $0.6 Milion = 4.2 Milion.

    Sir, I don’t understand the figure $3.6 Milion, how did you arrive to this?

    Thank you very much for your answer.

    March 10, 2016 at 12:28 pm #305244
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    Depreciation is 10%. The non-current assets were $4M at the start of the year. So at the end of the year they are $4M – (10% x $4M) = $3.6M

    March 10, 2016 at 2:44 pm #305279
    AvatarJana
    Member
    • Topics: 30
    • Replies: 18
    • ☆

    Thank you Sir. Your answer was clear to me.

    March 10, 2016 at 5:11 pm #305344
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    I am pleased it was clear 🙂

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