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Write the main characteristics of depreciation. (Ang 4 ) ..
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(1) Depreciation is only charged on non-current assets.
(2) Depreciation occurs from the date of purchase of an asset, till the last day of its estimated useful life.
(3) The amount of annual depreciation cannot be exact as it has to be estimated.
(4) It represents gradual and continuous reduction in the value of asset.
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