Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Sunshine Transport (Pty) Ltd imported a bus from their supplier in South Africa. The invoice price of the bus amounted to R1,550,000 on the date

image text in transcribed
Sunshine Transport (Pty) Ltd imported a bus from their supplier in South Africa. The invoice price of the bus amounted to R1,550,000 on the date when ownership transferred on 2 March 2019. The company incurred N$38,775 import duties and delivery fees of N$11,225. Costs of testing this new bus amounted to N$25,000. After relevant inspections, the bus was ready for use on 1 April 2019. However, due to busroute conflicts, the bus was only put into use on 1 May 2019. The total useful life was estimated at 10 years whereafter it could be sold for N$125,000 Calculate the depreciation charge relating to the bus for the 2019 financial year ended 31 December 2019. Select one: O A. N$112,500 O B. N$121,875 O C. N$100,000

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

Step: 3

blur-text-image

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

The Audit Or Iceland A Modern Myth Oberon Modern Plays

Authors: Andrew Westerside And Proto Type Theater

1st Edition

1786824671, 978-1786824677

More Books

Students also viewed these Accounting questions

Question

Can you use the longest hash possible? How long is good enough?

Answered: 1 week ago

Question

=+a. What is the value of the sample proportion of successes?

Answered: 1 week ago

Question

Solve the following 1,4 3 2TT 5x- 1+ (15 x) dx 5X

Answered: 1 week ago