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ENGEN acquired the following assets. Financial Year: 31 December 2019. 1. Motor vehicle $ 100 000 acquired on 30 June 2015 Custom clearance cost N$ 8 500 Transport cost from Walvis Bay to Windhoek $ 10 000 Vehicle registration cost N$ 1 500 Depreciation: 4 years’ straight line Scrap value $ 2 000 2. Furniture and Fittings N$ 150 000 acquired on 01 January 2015 Depreciation: 20% diminishing balance N$ 49 152 residual value a)Calculate depreciation each year for both assets? Show each year depreciation expense and accumulated depreciation.

ENGEN acquired the following assets. Financial Year: 31 December 2019. 1. Motor vehicle $ 100 000 acquired on 30 June 2015 Custom clearance cost N$ 8 500 Transport cost from Walvis Bay to Windhoek $ 10 000 Vehicle registration cost N$ 1 500 Depreciation: 4 years’ straight line Scrap value $ 2 000 2. Furniture and Fittings N$ 150 000 acquired on 01 January 2015 Depreciation: 20% diminishing balance N$ 49 152 residual value a)Calculate depreciation each year for both assets? Show each year depreciation expense and accumulated depreciation.

FINANCIAL ACCOUNTING
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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ENGEN acquired the following assets. Financial Year: 31 December 2019.
1. Motor vehicle

$ 100 000 acquired on 30 June 2015

Custom clearance cost N$ 8 500
Transport cost from Walvis Bay to Windhoek $ 10 000
Vehicle registration cost N$ 1 500
Depreciation: 4 years’ straight line
Scrap value $ 2 000

2. Furniture and Fittings
N$ 150 000 acquired on 01 January 2015
Depreciation: 20% diminishing balance
N$ 49 152 residual value

a)Calculate depreciation each year for both assets? Show each year depreciation expense and accumulated depreciation.

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