A Level · Accountancy · Chapter 3

Ch 3 Accounting for Non-current Assets: complete notes

Neat, exam-ready notebook-style notes for Ch 3 Accounting for Non-current Assets, following the Cambridge A Level 9706 syllabus, AS and A Level. This chapter is part of the complete A Level Accounting 9706 Complete Notes: All 25 Chapters, AS and A Level (Cambridge 2026–2028).

Free preview: Ch 3 Accounting for Non-current Assets notes

A quick look at the chapter from our A Level Accountancy notes. The full chapter notes have the detailed explanations, diagrams and practice questions with answers.

Topics in this chapter

1. The effect of treating an item incorrectly
2. Why assets depreciate
3. Purpose and the concepts applied
4. Calculating depreciation
5. The most appropriate method
6. Measuring non-current assets: the cost model and the revaluation model
7. Depreciation in the financial statements

“I can” checklist: what you must be able to do

• classify capital and revenue income and expenditure
• calculate the effect of misclassification on profit and assets
• explain the causes and purpose of depreciation and the concepts applied
• calculate straight-line and reducing balance depreciation, incl. part years
• choose and justify the most appropriate method
• explain the cost model and the revaluation model
• prepare asset, accumulated depreciation and disposal accounts
• record part exchanges and revaluations by journal
• calculate the profit or loss on disposal
• show depreciation in the financial statements

What is inside the full chapter notes

• Notes on capital and revenue items, depreciation, the cost and revaluation models, and the ledger accounts; 8 worked examples
• Exam skills for Paper 2; common mistakes from the examiner report
• 20 Paper 1 style multiple-choice questions, explained
• Paper 2 style questions (30 and 15 marks) with full mark schemes; quick reference and "I can" checklist

See real pages (free sample)

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What you get in the pack

• All 25 chapters of the Cambridge International AS & A Level Accounting 9706 syllabus (exams 2026–2028): business entities, double entry, non-current assets, trial balance and errors, bank reconciliation, control accounts, adjustments, sole trader, partnership and limited company accounts, ratios, costing, absorption and marginal costing, partnership changes, clubs, manufacturing accounts, statements of cash flows, IAS and auditing, mergers, activity based costing, standard costing, budgeting and investment appraisal
• Every syllabus statement covered in order, each marked AS or A Level, with clear notes, tables and diagrams drawn for these notes
• 8 worked examples in every chapter: calculations and model answers that show how to earn the marks
• Exam skills for every paper (layouts, workings, own-figure marks, advise and evaluate answers) and common mistakes taken from Cambridge examiner reports
• 20 multiple-choice questions per chapter with answers and explanations
• Original exam-style structured questions in the style of Papers 1–4 with full mark schemes and complete answer layouts (no past-paper reprints)
• Quick-reference sheet and an "I can" checklist at the end of every chapter
• Colour PDF and a black and white copy of every chapter for printing
• Independent notes; not endorsed by or affiliated with Cambridge University Press & Assessment

All chapters in this pack

1. Ch 1 Types of Business Entity
2. Ch 2 The Accounting System and Accounting Concepts
3. Ch 3 Accounting for Non-current Assets
4. Ch 4 Trial Balance, Errors and Suspense Accounts
5. Ch 5 Bank Reconciliation Statements
6. Ch 6 Control Accounts
7. Ch 7 Adjustments to Financial Statements
8. Ch 8 Financial Statements of Sole Traders
9. Ch 9 Partnership Accounts
10. Ch 10 Limited Company Accounts
11. Ch 11 Analysis and Communication of Accounting Information
12. Ch 12 Costs and Cost Behaviour: Materials and Labour
13. Ch 13 Costing Applications and Absorption Costing
14. Ch 14 Marginal Costing and Cost-Volume-Profit Analysis
15. Ch 15 Partnerships: Goodwill, Changes and Dissolution
16. Ch 16 Clubs and Societies
17. Ch 17 Manufacturing Accounts
18. Ch 18 Limited Companies: Share Issues, Reserves and Statements of Cash Flows
19. Ch 19 International Accounting Standards, Ethics and Auditing
20. Ch 20 Business Acquisition, Merger and Computerised Accounting Systems
21. Ch 21 Analysis and Interpretation of Financial Statements
22. Ch 22 Activity Based Costing
23. Ch 23 Standard Costing and Variance Analysis
24. Ch 24 Budgeting and Budgetary Control
25. Ch 25 Investment Appraisal