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answers plz 4. a) Explain three methods of calculating depreciation. (6 marks) b) On 1st Jan 2015, a company purchased two motor vans costing Shs.300,000
answers plz
4. a) Explain three methods of calculating depreciation. (6 marks) b) On 1st Jan 2015, a company purchased two motor vans costing Shs.300,000 each. The policy of the company is to charge the depreciation at a rate of 20% p.a. on reducing balance. A full years' depreciation is charged in the year of acquisition but none in the year of disposal. One motor van was sold on 15th October 2017 for Shs. 150,000. Required: For year 2015, 2016 and 2017 determine; i) Motor vans account. (5 marks) ii) Provision for depreciation account. (5 marks) iii) Motor vans disposal account. (4 marks)Step by Step Solution
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