Balances at the end of the financial year: 28 February 2022.
Equipment R20 000
Accumulated Depreciation R16 000.
Adjustment:
Depreciation is calculated at 20% p. a. on a diminishing method. An old equipment was disposed for R1 500 cash on 1 December 2021. The equipment originally costed R3 000. The "Accumulated depreciation for previous years is R 700. The depreciation for the current year for the disposed equipment is:
A. R115
B. R460
C R345
D. R575