The financial statements of Zetar plc are presented in Appendix F. Instructions for accessing and using the company’s complete annual report, including the notes to its financial statements, are also provided in Appendix F.
Instructions
Use the company’s annual report to answer the following questions.
(a) According to the notes to the financial statements, what method or methods does the company use to depreciate “plant and equipment?” What rate does it use to depreciate plant and equipment?
(b) According to the notes to the financial statements, how often is goodwill tested for impairment?
(c) Using the notes to the financial statements, as well as information from the statement of cash flows, prepare the journal entry to record the disposal of property; plant, and equipment during 2011. (Round your amounts to the nearest thousand.)