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The question below results in the accumulated depreciation $135,000 for vehicle A and $40,000 for vehicle B? Could you please explain why? Question The vehicle

The question below results in the accumulated depreciation $135,000 for vehicle A and $40,000 for vehicle B?

Could you please explain why?

Question

The vehicle was reported a follows in 30 June 2016:

Vehicle (at cost) $500,000

Accumulated depreciation ($150,000)

$350,000

The vehicle consisted of 2 vehicles, vehicle A and vehicle B.

Vehicle A has cost $300,000 and had a carrying amount of $180,000 at 30 June 2016.

Vehicle B had cost $200,000 and was carried at $170,000.

Both are measured using the cost model and depreciated on straight line method over 10 years

Cost $300,000 $200,000

Accumm. dep $135,000 $40,000

$165,000 $160,000

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