A machine is purchased for 5,00,000. The estimated life of machine is 15 years and scrap value is 1.00.000. If the rate of interest on the depreciation fund is charged at 5% per annum, calculate the rate of depreciation by sinking fund method.
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Answer:
125000
Step-by-step explanation:
500000÷5%- 25000
100000+25000--
125000
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