Which of the following method is to be used, when the repair cost for assets are high in later period?
Straight Line Method
Written Down Value Method
Number of Production Units Method
None of these
Written Down Value Method is best suited for recording depreciation for those kind of assets.
"In case of a long-term asset, repair and maintenance expenses are expected to rise in later years than in the earlier year." Which method, is suitable for charging depreciation if the management does not want to increase the burden on profits and loss account on account of depreciation and repair.
In case of a long term asset, repair and maintenance expenses are expected to rise in later years than in earlier year. Which method is suitable for charging depreciation if the management does not want to increase burden on profits and loss account on account of depreciation and repair.