The Trial Balance as at 30 June 2011 reports the Machinery account balance as £340,000 and the balance in Accumulated depreciation (up to 30 June 2011) as £144,800. The balance in the Machinery account includes a machine acquired for £80,000 on 1 October 2010. A machine acquired for £60,000 on 1 July 2006 had been traded in for another with a list price of £90,000 on 1 March 2011, the difference being paid in cash. The trading-in of machinery has been accounted for correctly. Machinery is depreciated using the straight-line method and assuming a useful life of ten years. What is the carrying value of machinery as at 1 July 2010 and as at 30 June 2011?

Transcribed Image Text:

As at 1.7.2010 a £183,200 b £93,200 c C £192,200 d £123,200 As at 30.6.2011 £177,720 £195,200 £195,200 £177,720