Please help me with calculation of depreciation as per companies act 2013
WDV Computer as on 31-3-2014 29400 (one on 31-5-2014 computer purchase 40000,and 30-6-2014 computer purchase of 9000)
how do u calculate depreciation on opening balance of 29400?
As per SCHEDULE II (See section 123) USEFUL LIVES TO COMPUTE DEPRECIATION part C of Companies Act 2013, note no. 7
From the date this Schedule comes into effect, the carrying amount of the asset as on that date—
(a) shall be depreciated over the remaining useful life of the asset as per this Schedule;
(b) after retaining the residual value, shall be recognised in the opening balance of retained earnings where the remaining useful life of an asset is nil.
Hope this is clear to you.
CAclubindia
