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h aline on 1 red out of As at January 1, 2020, an entity has reported property valued at $350 million, which relates to land
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aline on 1 red out of As at January 1, 2020, an entity has reported property valued at $350 million, which relates to land and building. Of the total property cost. $50 million relates to land. The entity also has motor vehicles at cost of $55 million at the start of the period. The accumulated depreciation on the building and the motor vehicles was $15 million and $5 million respectively. Motor vehicles are depreciated on the reducing balance method at 10%, while the building is depreciated at a rate of 2% straight line. Total depreciation is to be shared between administrative expenses and selling and distribution cost at 40% and 60% respectively. What is the total depreciation expense to be reported under administrative expenses Select one: o a. $6.6 million O b. $3.6 million c. $4,4 million d. $5.4 millionStep by Step Solution
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