Financial Accounting
Financial Accounting
A business purchased a motor car on 2003.7.1 for $20,000.It is to ba depriciated at 20% per year on the straight line basis,asumming a residual value at the end of 5 years of $4,000,with a proportionate depreciation charge in the year of purchase.
The $20,000 cost was correctly entered in the cash book but posted to the debit of the motor vehicles repairs account.
How will the business profit for the year ended 2003.12.31 be affected by the error?
A understated by $18,400
B understated by $16,800
C overstated by $18,400
A business purchased a motor car on 2003.7.1 for $20,000.It is to ba depriciated at 20% per year on the straight line basis,asumming a residual value at the end of 5 years of $4,000,with a proportionate depreciation charge in the year of purchase.
The $20,000 cost was correctly entered in the cash book but posted to the debit of the motor vehicles repairs account.
How will the business profit for the year ended 2003.12.31 be affected by the error?
A understated by $18,400
B understated by $16,800
C overstated by $18,400
英語(yǔ)人氣：352 ℃時(shí)間：2020-06-23 20:32:35
優(yōu)質(zhì)解答
A購(gòu)買(mǎi)成本20000$,5年后殘值4000$,折舊金額=20000-4000=16000$,年折舊20%=16000*20%=3200$,因?yàn)槭?003年7月1日購(gòu)買(mǎi),所以2003年只計(jì)提半年折舊1600$,所以2003年計(jì)提折舊費(fèi)使利潤(rùn)減少1600$.但是由于20000$錯(cuò)計(jì)入motor v...
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