Need for Depreciation
Trending Questions
What are the limitations of the straight line method?
The main object of providing depreciation is
To satisfy Tax Department
To reduce tax
To calculate Net Profit
To show previous profit
Which among the following is not a reason for depreciation ?
Use of an asset
Passage of time
Obsolescence
Repair of an asset
Does the value of assets become fully zero using the WDV method of depreciation?
Depreciation is a non-cash expense which should not be provided for in the profit and loss account. Comment.
Which of the following is not a reason for providing depreciation?
To provide funds for replacement of assets
To fulfill the accrual concept
To ascertain the correct profit/ loss
To show true & fair view of financial statements
- To ascertain the accurate profit and loss.
- To ascertain correct cost of production
- To retain funds for replacement.
- All of the above
In which method of charging depreciation, the asset is written off completely? Find the Answer at BYJUS
What is the straight-line depreciation method?
Is depreciation an asset?
- straight line method
- units of production method
- double digit declining method
- reducing balance method
Which is better, the straight-line method of depreciation or the written down value method of depreciation?
- Reducing the liability of the shareholders in respect of any unpaid amount on the shares held by them
- All of the above
- Paying-off any paid-up share capital which is in excess of its requirement
- Cancelling any paid-up share capital which is lost or unrepresented by available assets
