Answered: cquired on 30 June 20X2…

cquired on 30 June 20X2 Custom clearance cost N$ 8 500 Transport cost from Walvis Bay to Windhoek N$ 10 000 Vehicle registration cost N$ 1 500 Depreciation: 4 years’ str

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

100%

QUESTION 1

Unam acquired the following assets. Financial Year: 31 December 20X6.

Motor vehicle

N$ 100 000 acquired on 30 June 20X2

Custom clearance cost N$ 8 500

Transport cost from Walvis Bay to Windhoek N$ 10 000

Vehicle registration cost N$ 1 500

Depreciation: 4 years’ straight line

Scrap value N$ 2 000

2. Furniture and Fittings

N$ 150 000 acquired on 01 January 20X2

Depreciation: 20% diminishing balance

N$ 49 152 residual value

a. Calculate depreciation each year for both assets? Show each year's depreciation expense and the accumulated depreciation.

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