A bulldozer is brought for 8 0 0 0 0 0 . it has been used for 2 years. What is accumulated depreciation for those 2 years if 1 0 % is applied using straight line method ( Ignore VAT )
Question:
A bulldozer is brought for 8 0 0 0 0 0 . it has been used for 2 years. What is accumulated depreciation for those 2 years if 1 0 % is applied using straight line method ( Ignore VAT )
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Asked by: Test User 100083
Created at: 2025-04-28 20:16:04
Asked by: Test User 100083
Created at: 2025-04-28 20:16:04
Final Answer:
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Let's break down the problem:
- **Cost of bulldozer:** 800,000 (assuming currency unit is not specified)
- **Useful life:** Not specified (but we can deduce the annual depreciation rate)
- **Depreciation rate:** 10% per year (straight-line method)
- **Years used:** 2 years
- **Ignore VAT**
### Step 1: Calculate Annual Depreciation
Straight-line depreciation per year = **Cost × Depreciation Rate**
\[
\text{Annual depreciation} = 800,000 \times 10\% = 80,000
\]
### Step 2: Calculate Accumulated Depreciation for 2 Years
\[
\text{Accumulated depreciation} = \text{Annual depreciation} \times \text{Number of years used}
\]
\[
\text{Accumulated depreciation} = 80,000 \times 2 = 160,000
\]
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## **Final Answer**
**Accumulated depreciation for 2 years = 160,000**
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