Beaver Ltd has an item of plant which had a cost of $2 000 000; on 30 June 20X7 its accumulated depreciation was $1,100,000 and its recoverable amount was $1,000,000.What is the carrying amount of this asset at 30 June 20X7?
A)$1,100,000
B)$1,000,000
C)$900,000
D)$2 000 000

Question

Quizplus · Accepted Answer

The carrying amount of an asset is the cost of the asset less its accumulated depreciation. Therefore, the carrying amount of this asset at 30 June 20X7 is $2,000,000 - $1,100,000 = $900,000.

Beaver Ltd Has an Item of Plant Which Had a Cost