Accounting Room
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Book value = Cost - Accumulated Depreciation
B.V = 10,000 - 1,600
B.V= 8,400
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Office Laptop
โ€ข Cost: $1,200
โ€ข Estimated Salvage Value: $200
โ€ข Useful Life: 5 years

Calculate the annual depreciation using the straight line depreciation method
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2. Units of Production Method

Annual depreciation/The Periodical Depreciation = Cost - Residual value/Units
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Live Work

Delivery Van (Based on Miles)
โ€ข Cost: $35,000
โ€ข Salvage Value: $5,000
โ€ข Total Estimated Miles: 100,000 miles
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Based on the above question, assume in the first year the van drives 20,000 miles.
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Pizza Oven
โ€ข Cost: $11,000
โ€ข Salvage Value: $1,000
โ€ข Total Estimated Capacity: 50,000 pizzas
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Based on the above question (The last one) assume in the first Month, the shop bakes 2,000 pizzas. Calculate the depreciation of Month 1
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Thank you all for such fruitful Live session and your wonderful participation ๐Ÿ™
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แŒแˆต แŠ แ‰ตแŒ แŒก แˆˆแˆ…แƒแŠ“แ‰ต แŠ แ‰ตแˆตแŒงแ‰ธแ‹แข
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Q31. Assume equipment was acquired at a cost of Br. 10,000 and depreciated at an annual rate of 10% of cost. The equipment is sold for cash on Oct 12 of its 8th year of use. What is the accumulated depreciation in the account as of the preceding Dec 31?
Anonymous Quiz
12%
Br. 6,000
24%
Br. 7,000
46%
Br. 8,000
17%
Br. 7,750
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แ‹จแˆ˜แ‹แŒซ แˆแ‰ฐแŠ“ (Exit Exam) แ‹จแˆšแˆฐแŒฅแ‰ แ‰ต แŒŠแ‹œ แŠจแ‹จแŠซแ‰ฒแ‰ต 16-27 แ‰€แŠ• 2018 แ‹“.แˆ แˆ˜แˆ†แŠ‘ แ‰ฐแŒˆแˆˆแŒธแข

แ‹จแ‰ตแˆแˆ…แˆญแ‰ต แˆแ‹˜แŠ“ แŠฅแŠ“ แˆแ‰ฐแŠ“แ‹Žแ‰ฝ แŠ แŒˆแˆแŒแˆŽแ‰ต แ‰ฃแ‹ˆแŒฃแ‹ แˆ˜แˆญแˆƒ-แŒแ‰ฅแˆญ แˆ˜แˆฐแˆจแ‰ตแฃ แ‹จ 2018 แ‰ตแˆแˆ…แˆญแ‰ต แ‹˜แˆ˜แŠ• แŠ แŒ‹แˆ›แˆฝ แ‹จแŠจแแ‰ฐแŠ› แ‰ตแˆแˆ…แˆญแ‰ต แˆ˜แ‹แŒซ แˆแ‰ฐแŠ“ (Exit Exam) แŠจแ‹จแŠซแ‰ฒแ‰ต 16 - 27 แ‰€แŠ• 2018 แ‹“.แˆ แ‹ญแˆฐแŒฃแˆแข
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Accounting Room
B. Converting Liabilities to Revenue (Deferral/Unearned Revenue) Concept: We received cash before we earned the revenue. The initial entry creates a liability. The adjusting entry converts a portion of that liability to revenue. Example: Magazine Subscriptionโ€ฆ
Unearned Revenue represents money received by a company before it has provided the service or good. Since the company still owes the customer that service, it is classified as a Liability. Like all liability accounts, its normal balance is a Credit.
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