On 31 December 2011 a New Motor Vehicle with a Life

Multiple Choice

On 31 December 2011 a new motor vehicle with a life of five years and no estimated residual value was purchased by a business at a cost of $23 000,net of GST.The diminishing-balance depreciation method is employed.At a rate of 25% p.a.what is the carrying value of the motor vehicle at 31 December 2013 after charging depreciation for that year?

A) $17,250
B) $12,937
C) $9,703
D) $15 000