The following detail of transactions and balances were extracted from the records of Wasp Manufacturers a company manufacturing gas lights. The company make use of the periodic inventory system. During the year 20 400 units were completed. The company are registered for VAT and the VAT rate is 15%. 01.07.2019 Factory Equipment R720 800/ Accumulated depreciation R250 200 30.06.2020 Factory Equipment R910 000/ Accumulated depreciation R290 250 The depreciation rate on factory equipment is R5,50 per unit produced on all factory equipment. During the year equipment with a cost of R150 800 and accumulated depreciation on 1 July 20.19 of R62 800 were sold at a loss of R4 800. This equipment produced 1 700 units during the current financial year until it was sold. These units are included in the total number of units given above. New factory equipment was purchased on the 1 September 20.19. Calculate depreciation
The following detail of transactions and balances were extracted from the records of Wasp Manufacturers a company manufacturing gas lights. The company make use of the periodic inventory system. During the year 20 400 units were completed.
The company are registered for VAT and the VAT rate is 15%.
01.07.2019
Factory Equipment R720 800/
30.06.2020
Factory Equipment R910 000/ Accumulated depreciation R290 250
The depreciation rate on factory equipment is R5,50 per unit produced on all factory equipment. During the year equipment with a cost of R150 800 and accumulated depreciation on 1 July 20.19 of R62 800 were sold at a loss of R4 800. This equipment produced 1 700 units during the current financial year until it was sold. These units are included in the total number of units given above. New factory equipment was purchased on the 1 September 20.19.
Calculate depreciation
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