A-LevelAccountingAccounting for non-current assets9706/12 · May/June 2019 · Q31 Mark

June purchased a new machine. She depreciated it at a rate of 40% per annum using the reducing balance method. After two years its net book value was $3600. What was the purchase price of the machine?

A$7056

B$9216

C$10000

D$22500

✓ Correct answer

C: $10000

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About this question

Topic: Accounting for non-current assets, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, May/June 2019 Paper 1 Variant 2, question 3.

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