PART B State which depreciation method will be the most appropriate in the case of each of the following assets. A delivery van used by a baker. A filing cabinet. A shop held on a twenty-year lease. A...

Extracted text: PART B State which depreciation method will be the most appropriate in the case of each of the following assets. A delivery van used by a baker. A filing cabinet. A shop held on a twenty-year lease. A plastic moulding machine to manufacture a new novelty – plastic fireguards. It is (i) (ii) (iii) (iv) expected that these will be very popular next Christmas and that sales will continue for a year or two thereafter but at a very much lower level. Machine X. This machine is used as a standby when the normal machines are being maintained. Occasionally it is used to increase capacity when there is a glut of orders. Machine X is of an old type and is inefficient compared with new machines. When used on a full-time basis, the machine should last approximately four years. (v)