Depreciation calculation after providing for impairment loss

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

11 January 2016 Dear Experts,
Please let me know how to compute depreciation after providing for impairment loss on plant and machinery in the current financial year.
It would be helpful if query is answered with the help of the following Example:-
Date of Purchase - 01-Apr-2013
Useful life of Asset - 10 Years
Cost of the Asset - 1,00,000/-
Depreciation Method Followed- SLM
Current Financial Year - 2015-16
Impairment Loss Recognised on 1-Apr-2015 for the particular Asset- 30,000/-

Please let me know the depreciation to be provided for in the statement of Profit and Loss for the year ending 31-Mar-2016.

Thanks in Advance.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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11 January 2016 1. WDV as on 1-4-15 100000-20000= 80000
2. Less: Impairment Loss 30000
3. Carrying Amount 1-4-15 50000
4. Remaining useful life of the asset 8 Years
5. Depreciation 31.03.2016 50000/8 6250

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