Question

A machinery was purchased for Rs 6,00,000 on 01.04.2012 and paid Rs 30,000 on its installation. It is estimated that the useful life of the machinery is 10 years and its scrap value is RsRs 20,000. The amount of depreciation to be charged for the year ending 31.03.2017 will be ___________: (a) Rs 61,000 (b) Rs 62,000 (c) Rs 60,000 (d) Rs 63,000

Answer 1

a. 61000.

630000 - 20000/ 10 = 610000/ 10

= 61000