ch 10 blue packet info Flashcards
1
Q
impairment loss for an asset held for use forumla
A
carrying value - Fair value
2
Q
impairment loss for an asset held for disposal
A
carrying value - (Fair value - cost of disposal)
3
Q
what costs make up the depletion base? (4)
A
Acquisition costs
Intangible development costs
Restoration costs
Exploration (ONLY IF STATED)
4
Q
journal entry for depletion
A
D Inventory
C Mine
5
Q
Asset turnover formula
A
Net sales / Average total assets
6
Q
Dep per year formula
A
sum of straight line dep per asset
7
Q
composite dep rate formula
A
deprecation per year / total original cost
8
Q
composite life formula
A
total depreciable base / deprecation per year
