Marchand records an item of property, plant and equipment at 900,000 and deducts the grant received of 180,000 from its cost. Residual value: 60,000; useful life: 8 years, straight-line depreciation (case conventions). Calculate the cost net of the grant, then the annual depreciation charge.
- Cost of the item of property, plant and equipment
- 900,000
- Grant deducted from cost
- 180,000
- Residual value (on the net cost)
- 60,000
- Useful life
- 8