Categories: Accounting WAEC

The net book value of the machine as at 31st December 2017 was?

Use the following information to answer the question below

A firm bought a lathe machine for Le 45,600 on 1s January 2015. The life span was estimated to be 20 years while scrap at the end of the period was valued at Le 1,600. It was to be depreciated by the fixed installment method.

 

A. 44,000
B. 41,200
C. 39,000
D. 38,760

Correct Answer:

Option B – 41,200

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