Solution
9.8
DR
|
Equipment
Account
|
CR
|
|
|
€
|
|
|
€
|
1/1/09
|
Bank
a/c
|
80,000
|
|
|
|
20/10/09
|
Bank
a/c
|
100,000
|
31/12/09
|
Bal
c/d
|
180,000
|
|
|
180,000
|
|
|
180,000
|
1/1/10
|
Bal
b/d
|
180,000
|
|
|
|
15/2/10
|
Bank
|
70,000
|
|
|
|
20/11/10
|
Bank
|
50,000
|
31/12/10
|
Bal
c/d
|
300,000
|
|
|
300,000
|
|
|
300,000
|
1/1/11
|
Bal
b/d
|
300,000
|
|
|
|
20/3/11
|
Bank
|
100,000
|
31/12/11
|
Bal
c/d
|
400,000
|
|
|
400,000
|
|
|
400,000
|
1/1/12
|
Bal
b/d
|
400,000
|
|
|
|
15/5/12
|
Bank
|
150,000
|
31/12/12
|
Bal
c/d
|
550,000
|
|
|
550,000
|
|
|
550,000
|
|
|
|
|
|
|
|
|
|
|
|
|
DR
|
Provision
for Depreciation of Equipment Account
|
CR
|
|
|
€
|
|
|
€
|
31/12/09
|
Bal
c/d
|
18,000
|
31/12/09
|
P
& L a/c
|
18,000
|
1/10/04
|
|
|
1/1/10
|
Bal
b/d
|
18,000
|
31/12/10
|
Bal
c/d
|
48,000
|
31/12/10
|
P
& L a/c
|
30,000
|
|
|
48,000
|
|
|
48,000
|
|
|
|
1/1/11
|
Bal
b/d
|
48,000
|
31/12/11
|
Bal
c/d
|
88,000
|
31/12/11
|
P
& L
|
40,000
|
|
|
88,000
|
|
|
88,000
|
|
|
|
1/1/12
|
Bal
b/d
|
88,000
|
31/12/12
|
Bal
c/d
|
143,000
|
31/12/12
|
P
& L
|
55,000
|
|
|
143,000
|
|
|
143,000
|
|
|
|
|
|
|
|
|
|
|
|
|
DR
|
Income
Statement (P&L Extract)
|
CR
|
|
|
|
€
|
|
|
€
|
2009
|
Depreciation
- equipment
|
18,000
|
|
|
|
2010
|
Depreciation
– equipment
|
30,000
|
|
|
|
2011
|
Depreciation
– equipment
|
40,000
|
|
|
|
2012
|
Depreciation
– equipment
|
55,000
|
|
|
|
Statement
of Financial Position (Extract)
Non
Current Assets
|
Cost
|
Accumulated
Depreciation
|
Net
Book Value
|
|
€
|
€
|
€
|
2009
|
|
|
|
Equipment
|
180,000
|
(18,000)
|
162,000
|
2010
|
|
|
|
Equipment
|
300,000
|
(48,000)
|
152,000
|
2011
|
|
|
|
Equipment
|
400,000
|
(88,000)
|
312,000
|
2012
|
|
|
|
Equipment
|
550,000
|
(143,000)
|
407,000
|
|