Analysing Comparative Statement of Profit and Loss
Under which o...
Question
Under which of the following methods of depreciation, amount of depreciation varies every year
A
Written Down Value Method
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B
Straight Line Method
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C
Amount of depreciation does not vary on year to year basis
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D
None of the above
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Solution
The correct option is A Written Down Value Method Under Written Down Value Method of depreciation, the amount of depreciation varies every year as depreciation is charged on the reduced value of the asset.