Accounting 9706 · AS & A Level · Accounting for non-current assets

Accounting for non-current assets — practice question

V Limited owns several non-current assets. These assets lose value because of a range of causes, including wear and tear.
(a)[2]

State two causes, apart from wear and tear, of depreciation in non-current assets.

(b)[2]

Describe what the consistency concept means.

(c)[3]

Prepare the journal entry that records the revaluation of the property. No narrative is needed.

(d)[4]

Calculate the depreciation charge for furniture and equipment for the year ended 31 December 2021.

(e)[4]

Prepare the motor vehicle disposal account for the year ended 31 December 2021.

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