Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 13 rolls ltd is a clothing manufacturer a

QUESTION 13 Rolls Ltd is a clothing manufacturer and purchased a new factory in which...

60.1K

Verified Solution

Question

Accounting

QUESTION 13

Rolls Ltd is a clothing manufacturer and purchased a new factory in which it makes womens

garments. At the beginning of its financial year ending 31 December 2020, It purchased new machinery for the factory which cost 1,601,000. The delivery and installation costs of the machinery were 73,000. The costs for maintaining the machinery were 14,560 and electricity costs to run the machinery were 35,280. The machinery has to be tested for health and safety purposes at the end of every financial year which cost 4,368 per annum. The machinery is depreciated on a straight-line basis at a rate of 25%.

What is the net book value of the machinery at the financial year ending 31 December 2020?

1,200,750

1,258,776

1,255,500

1,296,156

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students