2012 Kembara Sdn Bhd. bought two trucks, first truck for Rm8000 and second truck for RM6000 and a machine for RM 8000 on 2nd January. Bought at machine costing RM3000 on 1st October 2013 Bought another truck on 2nd June for RM7600. Bought a machine costing RM2100 on 8th November 2015 Sold the first truck for RM3600 on 30th September for the sum of RM810 Bought another machine for RM2000 on 4th May The business depreciate it's machine of the rate of 15% per annum using reducing balance method and 20% per annum for it's truck with straight line basis. From the following details: The financial year end of the business is 31st October. You are required to; a) Record the above transaction; i)the truck account i)the machine account

Q: What are two major types of depreciation?

A: In general terms, depreciation is a decline in the value of long-term tangible assets. In…

Q: Explain the straight-line method of depreciation with an example?

A:

Q: Estimates of an asset's salvage value and usable life are used to determine depreciation costs. Is…

A: Different methods of depreciation are based on the useful life of the asset. However, one of the…

Q: which method of depreciation is used when the cost of an asset is written off in equal amounts over…

A: Depreciation represents the reduction in the value of an asset over an expected life.

Q: explain one method of depreciation

A: The depreciation expense is charged on fixed assets as reduction in the value of fixed assets with…

Q: Explain what is meant by depreciation. Describe the methods of depreciation and give a numerical for…

A: A tangible material's cost can be spread out over the period of its useful life using the accounting…

Q: There are many terminologies used to describe the process of distributing the cost of an item over…

A: The Answer

Q: Instead of valuing assets, depreciation is a cost allocation procedure. This statement should be…

A: This question tells about depreciation is a cost allocation procedure:

Q: Discuss the factors that influence the estimation of service life for a depreciable asset.

A: Fixed asset:It refers to the long-term assets having a useful life of more than a year which is,…

Q: The cost of an asset that is subject to depreciation os called?

A: Assets: Assets are those resources that are owned by the business organization which has an economic…

Q: erent methods of calculating depreciation.

A:

Q: The depreciable amount is also called the _________________. Select one alternative: carrying…

A: Depreciable amount is the cost of an asset minus its residual value.

Q: Briefly differentiate between the straight-line depreciation method and accelerated depreciation…

A: Depreciation: The depreciation is the expense which is debited to the income statement in the ratio…

Q: What is meant by straight line method if charging depreciation?

A: Depreciation: Depreciation refers to the reduction in the monetary value of a fixed asset due to its…

Q: What are the three methods to account for depreciation? What are the differences between the three…

A: Methods of depreciation Straight line method Declining/ Diminishing balance method Sum-of-the-year…

Q: w to determine what depreciation should be used

A: Solution Concept Depreciation                 Depreciation refers to the expense that is recorded…

Q: Define the following: (a) Depreciation (b) Book value

A: Asset refers to the resources kept by the businesses to be utilized in the operations. Assets are…

Q: How do you figure units-of-production method depreciation?

A: The business entities are required to charge the depreciation expense on their assets so that the…

Q: Discuss the characteristics, valuation, and amortization of intangible assets.

A: Intangible assets have two main characteristics: (1) Lack physical existence, and (2) Non-…

Q: What is the definition/meaning of Depreciation and Accumulated Depreciation in simple words? Please…

A: Depreciation:-Depreciation refers to the systematic allocation of the cost of a tangible asset over…

Q: Define straight-line depreciation method

A: Depreciation means fall in value of depreciable assets with passage of time. There are many methods…

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.