CameraIcon

SearchIcon

MyQuestionIcon

24

You visited us 24 times! Enjoying our articles? Unlock Full Access!

Adjustment of Accumulated Reserves

The amount re...

Question

The amount realised at the end of working life of an asset ___________.

A

Residual value

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

B

Market price

No worries! We‘ve got your back. Try BYJU‘S free classes today!

C

Original cost

No worries! We‘ve got your back. Try BYJU‘S free classes today!

D

Written down value

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A Residual value
Every assets has its estimated life of working. After the life, the asset must be disposed off. On disposal, organization may receive some amount on sale of such asset.
The value realized at the end of working life of an asset is called residual value.

Suggest Corrections

thumbs-up

0

Similar questions

Q. The amount realised at the end of working life of an asset is known as ____________ .

Q. Select the most appropriate answers from the alternatives given below and rewrite the sentence.

The amount realized at the end of working life of an asset __________.
a) residual value
b) market price
c) original cost
d) written down value

Q. Consider the following information:
I. Rate of depreciation under the written down method= 20%
II. Original cost of the asset = Rs. 2,00,000
III. Residual value of the asset at the end of useful life= Rs. 81,920
The estimated useful life of the asset, in years, is

Q. Consider the following information: Rate of depreciation under the written down method is

20

%; Original cost of the asset was Rs.

1, 00, 000

; Residual value of the asset at the end of useful life will be Rs.

32, 768

; The estimated useful life of the asset will be ________ .

Q. Consider the following information:
I. Rate of depreciation under the written down method= 20%
II. Original cost of the asset = Rs. 2,00,000
III. Residual value of the asset at the end of useful life= Rs. 81,920
Depreciation for 3rd year =

View More

Join BYJU'S Learning Program

similar_icon

Related Videos

lock

Retirement of a Partner - II

ACCOUNTANCY

Watch in App

explore_more_icon

Explore more

Adjustment of Accumulated Reserves

Standard XII Accountancy

Join BYJU'S Learning Program

CrossIcon