What will be the net book value of delivery vans as at 31st December 2018 (in 000)? In 2018 the company sold a delivery van for 25,000 in cash. The vehicle was purchased in 2017 for E30,000. The cash received from the sale was paid into the business bank account and credited to disposal proceods Depreciation is to be provided on the non-current assets using the following annual rates: Land Buildings Delivery vans nil 1% per year on a straight line basis 20 per year on a reducing balance hasis A full year's depreciation is provided in the year of acquisition and no deprociation is provided in the year of disposal Depreciation charges and profits or losses on asset disposals are allocated 50% to distribution costs and 50% to administrative expenses

For the following questions use this Trial Balance The following balances have been extracted from the books of Santa plc for the year ended 31st December 2018, before any adjustments have been made. Dr Cr 000 000 Land 120 Buildings at cost 280 Buildings, accumulated depreciation at 1 January 2018 80 Delivery vans at cost 65 Delivery vans, accumulated depreciation at 1 January 2018 23 Inventory at 1 January 2018 74 Trade receivables 92 Provision for bad debts at 1 January 2018 5.6 Prepayments at 1 January 2018 3 Bank balance 7 Trade payables 23 10% debenture loan repayable in 2030 50 Ordinary share capital of 0.5 each 70 Share premium 10 Retained profits at 1 January 2018 101.4 Disposal proceeds 25 Sales revenue 1095 Purchases 621 Administrative expenses 96 Carriage-in 3 Distribution costs 109 Rent 21 Interim dividend paid 6 1490 1490