The company purchased a car at a value of 90 000 with a residual value of 20 000. The car was purchased in May 2014 and depreciation started on July 1^st 2014. Company applies acceleration depreciation method at a rate of 10% with an accelerating factor of 3.

On December 31^st, 2016 the company revalued the car to the current market value of 40 000. On 30th June 2017 the company stopped using the car and removed it from active use. In July it decided to sell the car for 8 000.

Required: Record all transactions in appropriate T-accounts and answer the following questions:

a) what was the value of depreciation in 2014, 2015 and 2016

b) what is the value of revaluation

c) what was the value of depreciation after revaluation

d) what is the value of profit/loss on sale of property, plant and equipment.

Complete the assignment according to instructions and submit it on Moodle within deadline. The company purchased a car at a value of 90 000 with a residual value of 20 000. The car was purchased in May 2014 and depreciation started on July 1st 2014. Company applies acceleration depreciation method at a rate of 10% with an accelerating factor of 3. On December 31st, 2016 the company revalued the car to the current market value of 40 000. On 30th June 2017 the company stopped using the car and removed it from active use. In July it decided to sell the car for 8 000. Required: Record all transactions in appropriate T-accounts and answer the following questions: a) what was the value of depreciation in 2014, 2015 and 2016 b) what is the value of revaluation c) what was the value of depreciation after revaluation d) what is the value of profit/loss on sale of property, plant and equipment