Cost of the asset$100,000
Life of the asset 5 years
Depreciation rate20%
Capital cost allowance rate 50%
Residual value of the asset nil
Income tax rate 50%
-What is deducted from an NFP organization's residual amount in its assets to arrive at net assets?
A) all fixed assets
B) all current assets
C) the accumulated depreciation
D) all debts to purchase these assets

Question

Cost of the asset$100,000 
Life of the asset 5 years 
Depreciation rate20% 
Capital cost allowance rate 50% 
Residual value of the asset nil 
Income tax rate 50%
-What is deducted from an NFP organization's residual amount in its assets to arrive at net assets?
A) all fixed assets
B) all current assets
C) the accumulated depreciation
D) all debts to purchase these assets

Quizplus · Accepted Answer

The Answer of Cost of the asset$100,000 
Life of the asset 5 years 
Depreciation rate20% 
Capital cost allowance rate 50% 
Residual value of the asset nil 
Income tax rate 50%
-What is deducted from an NFP organization's residual amount in its assets to arrive at net assets?
A) all fixed assets
B) all current assets
C) the accumulated depreciation
D) all debts to purchase these assets

Cost of the Asset$100,000