Question

Difference between fixed Instalment method and diminishing balance method

Answer 1

under Fixed installment method depreciation is calculated on the original value of the assets in diminishing balance method depreciation is calculated on the diminishing value of the Asset i e the value which is obtained after deducting the depreciation of the previous year

Answer 2

The answer is given below

Explanation:

Under the fixed Installment method, the depreciation expense should be charged over the useful life plus the depreciation expense is same for all remaining useful life

And, in the diminishing balance method, the depreciation expense should be reduced every year and in this method, the residual value or salvage value should be ignored. It is not considered in the computation part so only original cost is taken.

Learn more

Differentiate fixed installment method and diminishing balances method.​

https://brainly.in/question/14409888