A machine used in a manufacturing business has an estimated effective life of 5 years was...

 

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A machine used in a manufacturing business has an estimated effective life of 5 years was purchased on 1 January 2016 for $25,000 and sold on 21 March 2018 for $12,500. Prepare the depreciation schedules for both the prime cost AND diminishing value methods. • Calculate the assessable or deductible balancing adjustment. A machine used in a manufacturing business has an estimated effective life of 5 years was purchased on 1 January 2016 for $25,000 and sold on 21 March 2018 for $12,500. Prepare the depreciation schedules for both the prime cost AND diminishing value methods. • Calculate the assessable or deductible balancing adjustment.

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Prime cost method Depreciation per year 250005 5000 per ... View the full answer