27.

5
Machinery A/C
2016 2016
1/1 Balance b/d 94,500 31.12 Machinery disposals A/C 1,600
31.12 Bank 16,000 31.12 Balance c/d 108,900
110,500 110,500
2017 2017
1/1 Balance b/d 1,600
Office Furniture A/C
2016 2016
1/1 Balance b/d 3,200 31/12 Balance c/d 3,660
31.12 Bank 460
3,660 3,660
2017 2017
1/1 Balance b/d 3,660
Accumulated provision for depreciation: Machinery A/C
2016 2016
31.12 Machinery disposals A/C 1,280 1.1 Balance b/d 28,350
31.12 Balance c/d 48,850 31.12 Profit and loss A/C 21,780
50,130 50,130
2017 2017
1/1 Balance b/d 48,850
Accumulated provision for depreciation: Office Furniture A/C
2016 2016
31/12 Balance c/d 1,646 1/1 Balance b/d 1,280
31/12 Profit and loss A/C 366
1,646 1,646
2017 2017
1/1 Balance b/d 1,646
Machinery disposals A/C
2016 2016
31/12 Machinery A/C 1,600 31/12 Accumulated depreciation A/C 1,280
31/12 Profit and loss A/C (Gain) 40 31/12 Bank A/C 360
1,640 1,640
Working paper : Calculate depreciation
2016
Machinery at cost (Balance c/d) 108,900
depreciation (110,500*20%) 21,780
Cost of Office Furniture (Balance c/d) 3,660
depreciation (3,660*10%) 366

Statement of Financial Position (Extracts) for the year ending 31/12

$ $
2016 Machinery at cost 108,900
less: Accumulated depreciation (48,850) 60,050
Office Furniture at cost 3,660
less: Accumulated depreciation (1,646) 2,014
27.6
Working paper : Calculate depreciation and disposals-2019
depreciation for 2017 (36,000-6,000)/3 10,000
depreciation for 2018 (36,000-6,000)/3 10,000
Accumulated depreciation 20,000
Net book value at 1.1. 2019 (36,000-20,000) 16,000
depreciation for 2019 (16,000-4,000)/3 4,000
Accumulated depreciation at 2019 (20,000+4,000) 24,000