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Price Ceiling

WHY IS THE DE...

Question

WHY IS THE DEPRECIATED VALUE OF LOOSE TOOLS NOT INCLUDED IN
PAND L AC IN QUE 23

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Solution

Dear Student, Loose Tools are Current Assets of the business. Therefore, depletion in its value should not be shown in the Profit and Loss A/c.

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Q. For loose tools which method of depreciation is more appropriate

Q. A & C Ltd. manufacturing loose tools and spare parts for its own use at the each of each year depreciation is charged on revaluation method. What would be the annual depreciation charge for the year ending

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Q. _____________ is not included in the depreciable value of an asset for the purpose of depreciation.

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