Die afskrywing en vervanging van diensvoertuie : 'n gevallestudie

Abstract

The economic climate in which a business concern in South Africa has to operate , has changed tremendously since 1973 . An oil crisis and recession have caused excess capacity and severe competition . The result of this is that cost must be kept to a minimum and losses cannot be tolerated . One of the costs to be controlled is that of service vehicles . As such, the purpose of this study is to clarify the calculation of the optimum life of service vehicles as well as the depreciation thereof . This is to be done es follows: 85 . Service vehicles ere first classified as assets in accordance with standard accountlng conventions . This classification determines how the assets are to be reflected in financial statements . This is followed by a discussion of the calculation of the optimum life of a service vehicle . Graphical as well es numerical illustrations are used . Other factors, such as tax concessions, that can affect the calculations are discussed .