Original cost of a machine  = Rs.1,30,000

Salvage value = Rs.4,000

Useful life  = 6 years

Depreciation for the 1st year under sum of year’s digit method will be :

Under annuity method, the amount of depreciation is :

An asset was purchased for Rs.12,500 and was depreciated under Reducing Balance Method at the rate of 20% p.a. What is the value of the asset at the end of three years ?

The main objective of providing depreciation is to :

Original cost of an asset Rs.2,52,000. Salvage value Rs.12,000 Depreciation for 2nd year @ 10% p.a. under W.D.V. method will  be :

Useful life of an asset can be described as :

Amortization refers to writing off :

The W.D.V. of an asset after three years of depreciation on the reducing balance method @ 10% p.a. is Rs.36,450. What was its original value ?

The cost of a machine having a span of life of 5 years is Rs.1,00,000 with a scrap value of Rs.10,000. The amount of depreciation under sum of years digit method for the second year will be :

Which method of depreciation takes into account the element of Interest on Capital outlay :

Under which schedule is the depreciation rate mentioned ?

Cost of an asset Rs.75,000. Useful life is 4 years. Find out the depreciation for the 1st year under sum of years digit method :

On 1st January, 2006 A Ltd. purchased a machine for Rs.50,000 and spent Rs.4,000 on its carriage and Rs.2,000 on its installation. Its useful life is 10 years and scrap value is Rs.6,000. Depreciation for the year under fixed installment method will be :

Scrap value of an asset means the amount that it can fetch on sale at the ______ of its useful life :

A machine of Rs.3,000 was sold for Rs.4,200. Depreciation provision to date was Rs.400 and commission paid to selling agent was Rs.420 and wages paid to workers for removing the machine was Rs.30. Profit on sale of machine will be :

Under Annuity method Asset A/c is debited by :

Depreciation is the process of :

Original cost    = Rs.1,26,000

Salvage Value   = Rs.6,000

Useful life          = 6 year

What will be the book value of the asset as at the beginning of fourth year : (Under sum of year’s digits method)

Obsolescence means decline in the value due to :

Annuity method is designed for which of the following :

Cost of a machine   = Rs.1,12,500

Salvage value           = Rs.10,500

Useful life                  = 5 years

Depreciation for the last year using the sum of digits method will be :

Depreciation starts on a machine from the date :

A trader purchased a machinery for Rs.10,000 in Jan 2004. Depreciation is charged @ 25% diminishing balance. At the end of third year it was sold for Rs.1,000. Profit or Loss on sale of machine will be :

Cost of machinery     Rs.2,52,000

Salvage value              Rs.    12,000

useful life                            6 years

Annual depreciation under straight line method will be :

Which of the following is Depleted ?

A machine was purchased on 1st April, 2007 for Rs.5,00,000 and 1st October, 2007 for Rs.2,00,000. Calculate depreciation @ 20% p.a. on written down value method for the year ending 31st March, 2008.

A machinery is depreciated by Rs.2,000 every year. Which method is being used to calculate depreciation ?

A purchased a mine for Rs.2,50,000 minerals in the mine were expected to be 5,00,000 tonnes. In the first year, 50,000 tonnes of minerals were used. What is the depreciation for the first year ?

Original cost = Rs.1,00,000, Life = 5 years. Expected salvage value = Rs.2,000. Rate of depreciation p.a. = ?

Price of the computer             = Rs.50,000

Residual value                          = Rs.10,000

Hours worked for the year     = 6000 hours

Estimated life of computer = 20,000 hours

Calculate the amount of depreciation