A non-current asset cost Rs. 1,20,000 and is depreciated at 20% using the reducing balance method. After 3 years the net book value (WDV) is:

Rs. 48,000

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Rs. 49,152

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Rs. 56,250

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Rs. 61,440

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Solution

The correct option is D
Rs. 61,440

Year Value Depreciation WDV

1 1,20,000 24,000 96,000

2 96,000 19,200 76,800

3 76,800 15,360 61,440

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Year	Value	Depreciation	WDV
1	1,20,000	24,000	96,000
2	96,000	19,200	76,800
3	76,800	15,360	61,440

A non-current asset cost Rs. 1,20,000 and is depreciated at 20% using the reducing balance method. After 3 years the net book value (WDV) is:

The correct option is D Rs. 61,440 Year Value Depreciation WDV 1 1,20,000 24,000 96,000 2 96,000 19,200 76,800 3 76,800 15,360 61,440

The correct option is D
Rs. 61,440

Year Value Depreciation WDV

1 1,20,000 24,000 96,000

2 96,000 19,200 76,800

3 76,800 15,360 61,440