10-21-2009, 12:02 AM
Had there been no change in the estimate of useful life of an asset. The remaining life is three years
Depreciation for the will be calculated to Rs 23,333
Depreciation expense(Dr)23,333
Accumulated Depreciation (Cr.) 23,333
Then incremental depreciation would be separated i.e the depreciation charge on revaluation
It is Rs. 7,708.
Surplus on revaluation (Dr) 7,708
Equity (Cr) 7,708
Assuming the year end December 31
Regards
Ahmed
Depreciation for the will be calculated to Rs 23,333
Depreciation expense(Dr)23,333
Accumulated Depreciation (Cr.) 23,333
Then incremental depreciation would be separated i.e the depreciation charge on revaluation
It is Rs. 7,708.
Surplus on revaluation (Dr) 7,708
Equity (Cr) 7,708
Assuming the year end December 31
Regards
Ahmed
