| Cost of an asset at the start of the accounting
period after deducting capital allowances given in earlier accounting
periods. The closing written down value is the same as the opening
written down value, less capital allowances given in the accounting
period. This will be the opening written down value for the following
accounting period. Where expenditure on plant and machinery is
pooled for capital allowance purposes the closing written down
value will be the opening written down value brought forward,
plus any additional expenditure incurred, less any disposal proceeds,
less any capital allowances given, and plus any balancing charges
made. |