Management Accounting : Practice Assessment 2 Task 1.4 Help

sambar05

Hi, Was wondering if anyone could explain how to initially tackle the start of this question.I feel like i know it but at the same time i have confused myself over it .....

Thanks

PeterC

I would suggest just taking it a line at a time. Start with the total (on the right hand side) and divide it amongst the boxes on that row.

The first row is depreciation for vehicles, the total is £168,000
What does the question say about vehicles?
There is a column in the table saying that their carrying amounts are £1,250,000 (UK services) and £1,750,000 (International services)
this represents 41.67% of the total (£3,000,000) for UK and 58.33% for International
so put 41.67% of the depreciation in the "UK services" column and 58.33% in the "International services" column

Then do the next row...

ncacat

Have you @sambar05 did this?