Bayt.com

Start networking and exchanging professional insights

Register now or log in to join your professional community.

Follow

Book value of machinery is 50000$ and the accumulated depreciation is 35000$. Now the machinery is sold off for 10000$. Calculate Net profit/ loss?

Financial Analysis Financials Finance Financial Statements Financial Statement Analysis
user-image
Question added by Saurabh Aggarwal , Associate Manager , Ernst & Young LLP
Date Posted: 2015/07/08
Upvote (0) Views (5) Followers (2) Answers (2) Report Question
Write an Answer
Register now or log in to answer.
Deleted user
by Deleted user

Net loss of $5,000 since the cost or book value exceeds the accumulated depreciation and sales value as illustrated below;

 

lakshminarasimham mallareddi
by lakshminarasimham mallareddi , Manager Finance & Accounts , M/s. Vandana Global Limited, Raipur, Chhattisgarh

Net Profit of5000$ value of machinery less depreciation less sale value = profit / loss

Write Your Answer
More Questions Like This