Accounting Multiple Choice Question – 28 October 2020

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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A vehicle was purchased with an original cost £60 000. The vehicle was later sold for £18,000 and the profit on disposal was £3,000.

What was the accumulated depreciation of the vehicle on disposal? 

Select ONE answer:

  1. £15,000
  2. £18,000
  3. £42,000
  4. £45,000

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct – Original cost £60,000 – sale price £18,000 + profit on disposal £3,000

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