Jade Bhd has a number of motor vehicles and machinery. An extract from its statement of financial position as at 31 December 2012 showed the following. Assets Cost ( RM) Accumulated depreciation ( RM) Net Book Value ( RM) Motor Vehicles 160000 40000 120000 Building 250000 40000 210000 410000 80000 330000 During the year ended 31 December 2013, the following motor vehicles were acquired and sold: Date of acquisition Cost ( RM) Date of sale ( RM) Sales proceed ( RM) 31 March 2010 22000 31 January 2013 12000 30 September 2013 34000 30 November 2013 42000 Additional information: i. An old vehicle which was acquired on 1 January 2011 at a cost of RM 16000 was exchanged for the vehicle acquired on 30 September 2013. The trade-in value was RM 13000. ii. Building was revalued on 1 January 2013 to RM 300000. The building was acquired since 1 January 2005. iii. Depreciation of the motor vehicle is provided at 20% per annum on cost. It is calculated based on monthly ownership while the building is depreciated over its useful life of 50 years. Required: Prepare the following for the year ended 31 December 2013: a) Motor vehicle and building accounts b) Accumulated depreciation account for motor vehicle and building c) Disposal of motor vehicle account d) Show the extract of statement of financial position as at 31 December 2014
Jade Bhd has a number of motor vehicles and machinery. An extract from its statement of financial position as at 31 December 2012 showed the following. Assets Cost ( RM) Accumulated depreciation ( RM) Net Book Value ( RM) Motor Vehicles 160000 40000 120000 Building 250000 40000 210000 410000 80000 330000 During the year ended 31 December 2013, the following motor vehicles were acquired and sold: Date of acquisition Cost ( RM) Date of sale ( RM) Sales proceed ( RM) 31 March 2010 22000 31 January 2013 12000 30 September 2013 34000 30 November 2013 42000 Additional information: i. An old vehicle which was acquired on 1 January 2011 at a cost of RM 16000 was exchanged for the vehicle acquired on 30 September 2013. The trade-in value was RM 13000. ii. Building was revalued on 1 January 2013 to RM 300000. The building was acquired since 1 January 2005. iii. Depreciation of the motor vehicle is provided at 20% per annum on cost. It is calculated based on monthly ownership while the building is depreciated over its useful life of 50 years. Required: Prepare the following for the year ended 31 December 2013: a) Motor vehicle and building accounts b) Accumulated depreciation account for motor vehicle and building c) Disposal of motor vehicle account d) Show the extract of statement of financial position as at 31 December 2014
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Jade Bhd has a number of motor vehicles and machinery. An extract from its statement of financial
position as at 31 December 2012 showed the following.
Assets
Cost ( RM )
Accumulated depreciation ( RM)
Net Book Value ( RM )
Motor Vehicles
160000
40000
120000
Building
250000
40000
210000
410000
80000
330000
==
During the year ended 31 December 2013, the following motor vehicles were acquired and sold:
Date of acquisition
Cost ( RM )
Date of sale ( RM)
Sales proceed ( RM )
31 March 2010
22000
31 January 2013
12000
30 September 2013
34000
30 November 2013
42000
Additional information:
i. An old vehicle which was acquired on 1 January 2011 at a cost of RM 16000 was exchanged for the
vehicle acquired on 30 September 2013. The trade-in value was RM 13000.
ii. Building was revalued on 1 January 2013 to RM 300000. The building was acquired since 1 January
2005.
iii. Depreciation of the motor vehicle is provided at 20% per annum on cost. It is calculated based on
monthly ownership while the building is depreciated over its useful life of 50 years.
Required:
Prepare the following for the year ended 31 December 2013:
a) Motor vehicle and building accounts
b) Accumulated depreciation account for motor vehicle and building
c) Disposal of motor vehicle account
d) Show the extract of statement of financial position as at 31 December 2014
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