Cash Management =

ykwong1978

Hi,

I have tried the green light for Cash Management, and for some reason I am getting this wrong, and I have no idea why?

QUESTION
C Ltd has prepared its statement of financial position at 31 December 20X1, and the carrying amount of its fixtures and fittings included under non-current assets was £51,600. At the start of the year the carrying amount was £50,250, and during the year the fixtures and fittings were depreciated by £8,200. There was a disposal of some old fixtures and fittings during the year which had a carrying amount at disposal of £2,450. From the data given, calculate the amount paid to purchase the new office equipment during the year.

I thought the answer would be £51600 - 50250 = £1350, and this was wrong

I tried it again, and decided to include the depreciation so £51600 - £50250 + £8200 = £9550 - and this was wrong.

If anyone can explain how to work this out, I would be very grateful.

Thanks

Ying

sdv

Opening balance.............................50 250
Less disposal...................................2 450
Bal before purchase........................47 800
Add purchases...............................12 000 work out missing figure backwards
Bal before depreciation....................59 800
Less depreciation.............................8 200
Closing balance..............................51 600

51,600 + 8,200 + 2,450 – 50,250 = 12,000

ykwong1978

I have passed Cash Management today and seem to be borderline competent as I was given a feedback report (is this new)

My feedback was

Section 1
Exceeded 3 parts
Met 1 part
Did Not Meet 2 parts

Section 2
Exceeded 5 parts
Did not meet 1 part.

So, my result was Competent.

My question is, is this feedback report new? Or is this only given to me as I did poorly in some section?
I passed PEAF and SPSW this year and was just given the Result but with no feedback.

I must admit that I did find this reasonably okay, but there are a few section that I seem to mix up badly, and cannot understand the question asked.

I don't really know what to do next, as I have now completed level 3 and I was planning to jump straight into Level 4, but with my poor result in a few section, should I try and understand where I am going wrong in those sections, or just move on.

Ying