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प्रश्न
Which method shall be efficient, if repairs and maintenance cost of an asset increases as it grows older.
विकल्प
Straight line method
Reducing balance method
Sinking fund method
Annuity method
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उत्तर
Reducing balance method
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संबंधित प्रश्न
Write the word/term/phrase which can substitute the following statement:
Excess of Selling price of fixed asset over its Written Down Value.
Complete the following sentence:
Depreciation is charged on ______ asset.
Complete the following sentence:
Depreciation Account is a ______ account.
Under the written-down value method of depreciation, the amount of depreciation is ______.
For which of the following assets, the depletion method is adopted for writing off cost of the asset?
Depreciation is to be calculated from the date when ______.
Distinguish between straight-line method and written down value method of providing depreciation.
A firm acquired a machine on 1st April 2015 at a cost of ₹ 50,000. Its life is 6 years. The firm writes off depreciation @ 30% p.a. on the diminishing balance method. The firm closes its books on 31st December every year. Show the machinery account and depreciation account for three years starting from 1st April 2015.
On 1st April 2015, Suman Traders purchased Machinery for ₹ 30,000. On 1st Oct. 2015, they purchased further Machinery costing ₹ 20,000.
On 1st Oct. 2016, they sold the Machine purchased on 1st April 2015 for ₹ 18,000 and brought another Machine for ₹ 15,000 on the same date.
Depreciation is provided on Machinery @ 20% p.a. on the Diminishing Balance Method and the financial year closes on 31st March every year.
Prepare the Machinery Account and Depreciation Account for the year 2015-16, 2016-17, and 2017-18.
The Revaluation Method is best suited for which type of assets?
