A Plant & Machinery costing ₹ 10,00,000 is depreciated on straight line assuming 10 year working life and zero residual value, for four years. At the end of fourth year, the machinery was revalued upw

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Meet · Answer

Book value of machinery 10,00,000 Accumulated depreciation for 4 yrs=(10,00,000×4/10)=400,000 Book value after revaluation=(10,00,000-400,000)+40,000=640,000 So depreciation for 5th year(useful life 8 yrs stated in question)=640,000/8=₹80,000. Therefore Depreciation for 5th year is Rs.80,000

Prasad · Answer

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A Plant & Machinery costing ₹ 10,00,000 is depreciated on straight line assuming 10 year working life and zero residual value, for four years. At the end of fourth year, the machinery was revalued upw

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