A-LevelAccountingAccounting for non-current assets9706/12 · May/June 2010 · Q301 Mark

A business purchases a vehicle for $10 000. The business depreciates its non current (fixed) assets at 20% using the diminishing value method. What is the depreciation charge for year 2?

A$1600

B$2000

C$6400

D$8000

✓ Correct answer

A: $1600

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Topic: Accounting for non-current assets, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, May/June 2010 Paper 1 Variant 2, question 30.

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