Question 4: A plant asset acquired on January 1, 2015, at a cost of SR240,000 and...

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Question 4: A plant asset acquired on January 1, 2015, at a cost of SR240,000 and has an estimated useful life of 5 years. The residual value is estimated to be SR50,000 at the end of the asset's useful life. (Company is using straight line method). Instructions If the company sold the asset on 31 August 2018 by SR 90,000 what would be the entry to record the disposal of the asset? Question 4: A plant asset acquired on January 1, 2015, at a cost of SR240,000 and has an estimated useful life of 5 years. The residual value is estimated to be SR50,000 at the end of the asset's useful life. (Company is using straight line method). Instructions If the company sold the asset on 31 August 2018 by SR 90,000 what would be the entry to record the disposal of the asset?

Answer rating: 100% (QA)

Particulars Dr Amount Cr Amount 31st Aug 2018 CashBank Ac Dr 90000 Provision for depreciation Ac Dr ... View the full answer