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They are charged as administration expenses in the SOCI unless, stated otherwise in the question that they are to be charged as the cost of sales, then they will be charged as cost of sales.
Hope it helps.It really depends which particular assets you’re looking at. If they are the cars of sales persons, then depreciation would be a distribution cost. If it’s manufacturing plant, then cost of sales. If it’s office furniture, fixtures and fittings, then administrative expenses. A building which houses the manufacturing process and the administrative offices? Then split, probably in the ratio of floor space.
It’s just that, in F7, Steve Scott will normally ( but not always! ) say “Depreciation is to be treated as cost of sales”
That’s just to make it easier for you to pass the exam
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