NAne :HeSIHLE MriIzE DATE: IGfoy|2024 .

STu0¬NT NO: 228oy5885

TeST ONE

Initial Measurement:
Minibus sould be at its coSt he cost
The init ia| measurement of the
o an asset includes ns uchse þrice and any direcily attributable
of binqig the asset to ns NOrking conciton for ts tended
COStS
woLing
use. lherefore int s Cose. the cost e ue Minsus includes ns purchse
price of R100 0 and the deliyerq cost or Ri0 00|herefore the
1ntal cost the Minibs 1s Ri0 0

Subsequent Measureinent:
For cunsequent measueinent, KLL has chasen to use the cost Model
for Propsrty. Plant and kquipnent CPPE) as per IAS IC . Urder thi medel
the Minibus 5hould be carriec at its cost less any accumated deprecation
and any accumulated impoirement losses.

Depreuaton s colculated using the strauqht -Iine mestod over tie Useful
lite or the osset. |ne useful fe o he Mnibus s not
crphcniy
meat1oned, but since RLL has allaccatect a io io iate ona - ine

basis to dprecate the Uinibus, ne can infer that the useful fe is

The resdual valde of the Miaous is Ri0 00.

The deprecation e/pense for éack year s

Depreciation expense : Rio 00- Rio 00
 Hbvever Since the Minbus was ayailobe tfor use oniy fiomiApil
2023he depieciat or for te yeir 2023 would be 4 mTnths

Qmount f the Minbus Woull be ts cost Bo 0O)

loss 1he dapseciator fo q months (R52 Soo) , whch equ«ls RCs150.
2 Plant and Equpment (PPE ) Note :

Asset
Cargg amount
tStart of Jea
Add1tiong Depreciaton Caryng Aout
at End of Year
Minibus R5 So RG41500
Buiding R3 Soo oo R3 32s 00
R

ToTAL R4O16 O00 R323 Soo Rt 452 Soo

A. Minibw - |he Minibus has purchased on January 2093, for R100 0o0.
I Nas availaele oe ue prom Aprl 2023, The Mainibus
s depreciat d on a straiqht -line basu over to yare.w tu the'
resid ual value or Rio 60. he deprecLaton for the year

B. Buildingr- The buldirng were pur Chased In J613 nd used a bott the
Showeom and the harehase.The building s depecated
on a
stroqut -\ine lboris at 5l» par year. Ihe depveCiatjon
for the year er 2003 ú RI1S oo(R3 Soo Coo x5°%)

tn 309o -for R96o 00The.

Mochney- h ochiy were
purhased
cau
amout egnning or the yor 2023
ot the

firancial penod nas Rs6 oco. Ihe machinery is depecat ed

ver its useful life 5 years. lhe deperdepreciation for The
Year 2023 is R96 oooRS16 000/5) .
Statemet o Comprehensive Inome
| l00 000
Revenue
Cost of Sales 4 100 000

Grass prof it 20 98o

Otherlncome
(3 221 900)
Expenses CTotal)
Proe it Before Tax 899 go
Tax Expense
Proe it sf the Vear
Oher Comprehennve Income

Total Comprehensive Inoome