Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please type the answer by computer so I can see it clearly, thank you!!! Company (Newton Limited) is a watch manufacturing firm based in

image text in transcribed

Please type the answer by computer so I can see it clearly, thank you!!! Company (Newton Limited) is a watch manufacturing firm based in HK. It prepares yearly financial statements up to the 31st of December. The following is a list of plant and machinery movements for the year ending December 31, 2020: Dates Particulars Purchased a new lorry for HK$210,000 25.02.20 05.04.20 Sold an old lorry for HK$30,000 (original cost HK$100,000) 31.05.20 Purchased a motor car for HK$450,000 and only partly used for business purpose. The business portion was 40%. 10.08.20 Purchased 4 cabinets for HK$29,000. 25.10.20 30.11.20 Replaced an old fax machine (no scrap value) with a new one. The cost of the new fax machine was HK$9,000. Purchased 1 air-conditioning plant for HK$110,000. Tax written-down values brought forward from the year of assessment 2019/20 are as follows: 10% pool 20% pool 30% pool HK$250,000 HK$400,000 HK$280,000 Required Compute the total depreciation allowances that Newton Limited is entitled to claim for the year of assessment 2020/21.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Karen W. Braun, Wendy M. Tietz

4th edition

978-0133428469, 013342846X, 133428370, 978-0133428377

More Books

Students also viewed these Accounting questions