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State whether the following Statement is True or False with reasons: Depreciation is charged on fixed assets.

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Question

State whether the following statement is True or False with reasons:

Depreciation is charged on fixed assets.

Options

  • True

  • False

MCQ
True or False
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Solution

This statement is True.
To find out actual profit or loss of business and to make provision for the replacement of assets. depreciation is charged on fixed assets.
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Chapter 7: Depreciation - Exercises [Page 242]

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