Gujarat BoardEnglish MediumSTD 11 CommerceAccountP2 C2 Depreciation Accounts1 Mark
Question
Give the formulas to find out annual depreciation $(D)$ under Fixed Instalment method.
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Answer
Formula no. $1 : D = \frac {C – S} {N} $
Formula no. $ 2 : D = \frac {C × R} {100} $
Where, $D =$ Annual depreciation
$C =$ Cost price
$S =$ Scrap value
$N =$ Number of years of useful life
$R =$ Rate of depreciation
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