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Standard XII

Mathematics

Law of Reciprocal

Hi-Fi Ltd acq...

Question

Hi-Fi Ltd acquired machinery on 1st January 2012 at a cost of Rs36,000 and spent Rs.4,000 for its installation. The firm writes off depreciation at 10% p.a. on WDV basis. The books are closed on 31st December. Depreciation for 1st& 2nd year will be Rs__ & Rs_.

3, 600, 3, 240

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4, 000, 3, 600

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3, 600, 4, 000

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3, 240, 2, 916

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Solution

The correct option is C $4, 000, 3, 600$
Total cost of machinery = 36,000 + 4,000
= RS. 40,000.
Depreciation for 1st year :- (WDV method)
= 40,000 x 10/100
= RS-4,000.
Depreciation for 2nd year :- (WDV method)
= (40,000 - 4,000) 36,000 x 10/100
= RS-3,600.

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Hi-Fi Ltd acquired machinery on 1st January 2012 at a cost of Rs36,000 and spent Rs.4,000 for its installation. The firm writes off depreciation at 10% p.a. on WDV basis. The books are closed on 31st December. Depreciation for 1st& 2nd year will be Rs________ & Rs_______.

The correct option is C 4,000,3,600Total cost of machinery = 36,000 + 4,000 = RS. 40,000.Depreciation for 1st year :- (WDV method) = 40,000 x 10/100= RS-4,000.Depreciation for 2nd year :- (WDV method) = (40,000 - 4,000) 36,000 x 10/100= RS-3,600.

Hi-Fi Ltd acquired machinery on 1st January 2012 at a cost of Rs36,000 and spent Rs.4,000 for its installation. The firm writes off depreciation at 10% p.a. on WDV basis. The books are closed on 31st December. Depreciation for 1st& 2nd year will be Rs__ & Rs_.

The correct option is C $4, 000, 3, 600$
Total cost of machinery = 36,000 + 4,000
= RS. 40,000.
Depreciation for 1st year :- (WDV method)
= 40,000 x 10/100
= RS-4,000.
Depreciation for 2nd year :- (WDV method)
= (40,000 - 4,000) 36,000 x 10/100
= RS-3,600.