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

Accounting for non-current assets — practice question

The information below concerns a business’s motor vehicles. In 2021, motor vehicles costing $195000 were acquired; one motor vehicle with an original cost of $80000 was disposed of for $24000, resulting in a profit of $2000. What was the depreciation charge for 2021?

  • A$87000
  • B$89000
  • C$91000
  • D$113000

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