Homework Answers
Accumulated depreciation at the end of the period = Accumulated depreciation at the start of the period + Depreciation expense for the period – Accumulated depreciation on assets sold/disposed off
Given
Accumulated depreciation at the start of the period=$4,000
Accumulated depreciation at the end of the period=$5,000
Depreciation expenses = $1,500
Let accumulated depreciation on asset sold be $a
So ,
5,000 = 4,000 + 1,500 - a
5,000 = 5,500 - a
a = 5,500 - 5,000
a = 500
The accumulated depreciation on the plant sold is $500.
and the correct answer is option d. i.e. $500.
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