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

Accounting for non-current assets — practice question

The financial statements were drawn up from the details below. Purchase cost of machinery (this included $450$ for repairs to the machinery): $16950$ Lighting and heating (this included $250$ for wiring in the factory extension): $1780$ Carriage inwards (this included $45$ for delivery of new machinery): $230$ What amount will the decrease in non-current assets be when capital and revenue items are correctly dealt with (ignore depreciation)?

  • A$155$
  • B$200$
  • C$405$
  • D$450$

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