Depreciation

A/c entries 537 views 5 replies
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student
30 Points Joined December 2011

Hello guys,

last year I Classified Printer  under Plant & Machinery  For Depreciation Now i Want to take it under Computer & software category.. Can I do so 

 

Thanks In Advance

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On 23 September 2013 at 11:27 Report
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Asst. Manager- Internal audit
226 Points Joined May 2008

Yes You can reclassify assets into its right category.

Last Year asset is classified into wrong category.  Adjust last year depreciation.

Depreciation on Printer as per Computer                                                   xxxxxxxxx

Depreciation on Printer as per Plant & Machinery                                  xxxxxxxxx

PRIOR PERIOD ITEM                                                                                 xxxxxxxxx

This year you can reclassify the asset and charge depreciation as per Computer.

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On 23 September 2013 at 12:27
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Learner
1881 Points Joined December 2012

samrendra sir

please explain with entries

 

thanks

 

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On 03 October 2013 at 17:22
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Is treatment is like change in rate of depreciation?
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On 03 October 2013 at 17:27
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Asst. Manager- Internal audit
226 Points Joined May 2008
Its depends if prior period item results in loss than Prior period expense A/c Dr. To Provision for Depreciation If prior period item results in gainbthan Provision for Depreciation A/c Dr. To Prior period income
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On 04 October 2013 at 20:42
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Asst. Manager- Internal audit
226 Points Joined May 2008
Dear Himanshu, Its not change in rate of depreciation...., its change of assets classification
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On 04 October 2013 at 20:43


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