24 June 2014
I have some trucks as fixed assets.its overall price is 3,00,00,000. it has a depreciation of 20%. also i repaired some trucks and its value got appreciated. so how can i account.
Now i create asset account under fixed asset for each asset and put current price as opening balance. and then it is capitalised. is this the correct way?
24 June 2014
you can expenses off the repair exp. of truck . capitalized when its increase its useful life otherwise not required. you can take last year closing vale as op bal. + addition - sale of truck- depreciation on truck = closing value of truck.
25 June 2014
charge depreciation for 40000 at full rate if addition is made before 30/09. in other case charge full rate for 15000 and half rate for 25000
CAclubindia
