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

Accounting for non-current assets — practice question

A company bought a lorry for $50000 on 1 January 2015. Its estimated residual value is $10000, and its useful life is four years. Depreciation is charged monthly on a straight-line basis. What will the depreciation charge be for the year ending 30 June 2015?

  • A$5000
  • B$6250
  • C$10000
  • D$12500

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