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A business buys a Van for £25000 and expect to have a useful economic life of 5yrs. It is depreciated at 50% reducing balance method and then sold for £6000 after 3yrs.
Can someone please help me undertand how to 'Calculate the total accumulated depreciation figure on the above question at the end of the 3yrs please.
The answer to that question says £21875 but I am struggling to get my head round it as to how this figure ia arrived at.
Started by Benjamin Asare in
AAT Level 3
by Christopher James
Jan 15 2016 9:01AM
I'm currently revising using the December 2014 past exam and am a bit confused with the answer to Q2 Glam Co in section B.
The answers state that when calculating the TPAR for treatments you should use the total bottleneck hours of 7,200, this gives the 'Total salon costs per bottleneck hour' of £42.56 for treatments (the same as for cuts.)
I'm confused as the 7,200 is the amount from part a of the question, for the senior stylists capacity for cuts, the capacity for treatments was 4,800 so I thought that this would be the amount of hours used to calculate the TPAR for treatments. Giving a Total salon costs for bottleneck hour for treatments of £63.83.
Can anyone please clarify why the 7,200 is used for both TPAR calculations please?
Started by Gina Spencer in
by Gina Spencer
Nov 28 2015 5:06PM
I live in the United States and so the exam kit will not arrive in time. I have done the past papers available on the ACCA website but would like some more for practise...any help?
Started by Chloe Brown in
by Chloe Brown
Nov 26 2015 8:18PM
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Started by Kaplan Administrator in
by Hilal Ahmad
Nov 26 2015 9:19AM