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REQUIRED DISPOSAL OF FIXED ASSETS Answer the following questions from the information given below. All workings 2.1 Calculate the depreciation for the current financial year
REQUIRED DISPOSAL OF FIXED ASSETS Answer the following questions from the information given below. All workings 2.1 Calculate the depreciation for the current financial year on the vehicle that ws sld 2.2 Prepare the Fixed Asset Realisation account in the general ledger to reflect the 2.3 Calculate the depreciation for the current financial year on the new vehicle acquired 2.4 Calculate the total cost price of the vehicles on 28 February 2017 vehicle on 31 August 2016. to disposal of the 2.5 to reflect all Prepare the Accumulated Depreciation on Vehicles account in the general ledger the entries up to the end of the financial year Prepare the following note to the financial statements (amount column fo 28 February 2017: 2.6 r Vehicles only) as at INFORMATION Steers Enterprises owns a fleet of motor vehicles. The following balances appeared in the general ledger on 01 March 2016, the beginning of the financial year R1 000 000k R400 000 Vehicles at cost Accumulated depreciation on vehicles Additional information - On 31 August 2016, a vehicle that cost R200 000 was sold for R32 000 cash. The accumulated depreciation on this vehicle was R165 000 on 01 March 2016. On 01 December 2016 a new vehicle was purchased for R250 000 cash. Deprecation is provided for on vehicles at 20% per annum on the diminishing balance. a
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