Ledoux has acquired equipment costing 540,000, partly financed by a grant of 135,000 presented as deferred income. Useful life: 6 years, straight-line depreciation with no residual value (case conventions). Record the two year-end entries for the first year: the depreciation charge, then the release of the grant.
- Cost of the equipment
- 540,000
- Grant received for the equipment
- 135,000
- Useful life
- 6