Question

The cost of machine is rupees 3,50,000if the rate of depreciation is 10%per year find the depreciation in price of the machine after 2years

Answer 1

Answer:

Here, P = Cost price of machine = Rs 2,50,000 R = Rate of depreciation per year = 10% N = 2 years A = Depreciated price of the machine after 2 years = 2,500 × 81 = Rs 2,02,500 Depreciation in price = Cost price (P) – Depreciated price (A) = 2,50,000 – 2,02,500 = Rs 47,500 ∴ The depreciation in price of the machine after 2 years would be Rs 45000