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Hi Loz,
I can remember being stuck on this question when I was studying manual Level 3!
I worked it out by removing the accumulated depn of the disposed asset (original cost less book value which is given in the question: £15,000 - £6,328 = £8,672
Depn figure B/f = £75,000 less £8,672 = £66,328
I then worked out the depn charge for the year (P&L) using the 25% reducing balance method: ((£150,000 - £15,000) - £66,328) x 25% = £17,168
To calculate the b/s depn just add the yearly P&L charge to the depn balance: £66,328 + £17,168 = £83,496
Hope this helps!
Emma
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