Accountancy, asked by shreyaghosh9393, 1 year ago

Is depreciation a source of fund give reason?

Answers

Answered by vidhi73
1
yes, depreciation fund is source of fund at the time of purchasing new machinery.

when company purchase new machinery it calculate depreciation every year and amount of depreciation is collected till the time of purchasing new machinery.

thus depreciation fund help at the time of purchasing new machinery.
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