Plant was purchased in the year for 10,000. It has been decided to provide for depreciation on

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Plant was purchased in the year for £10,000. It has been decided to provide for depreciation on a reducing balance basis (25 per cent). A full year's depreciation is charged in the year of purchase.

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Show the entries in the ledgers for the first two years. Provide extracts to show the disclosures in the statement of profit and loss and in the statement of financial position for both years.

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Introduction To Financial Accounting

ISBN: 978-0077138448

7th edition

Authors: Anne Marie Ward, Andrew Thomas

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