Machinery Rate is 12000/- and residual value is 2000/- and
life span is 10yrs.Calculate the dep in Straight line
method.

Answer Posted / mahipal reddy

Here mahine rate = 12000
residual (scrap) value = 2000
estimated life = 10 years

depreciation = (machinery rate- scrap value)/ estimated life

(12000-2000)/10=1000

here 1000 is depriciation

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