Interested to Buy Any Domain ? << Click Here >> for more details...
Answer Posted / h.r. sreepada bhagi
Depreciation is charged on fixed assets to account the
reduction in their value due to use, passage of time,
obsolescence, etc. Assumption (Fact also) is that after some
years the assets will become useless & they will not be
useful for the business.
Contrary to this land will never cease to exist. it remains
there forever and remain useful. It's value will not
generally come down. Hence it's not depreciated and usually
shown at cost of acquisition. However, if a business wants
to revalue it, it can do so & state it at the market value
as per the provisions of applicable laws.
Remember - Land is an asset with perennial value & its life
is not limited as that of other fixed assets (For which
depreciation is necessary)
| Is This Answer Correct ? | 25 Yes | 3 No |
Post New Answer View All Answers
What is the difference between General Ledger and Ledger?
Dear sir/madam, Want to know entry for closing of sundry creditors account on the end of the year when its accounts shows debit balance, Payment made excess. E.g Invoice rcvd : 100000.00 from XYZ company payment Made: 105000.00 Please suggest best entry for the same
What is the provision? What is the entry for provision?
Explain me your current/former role, your responsibilities, and how success is/was measured?
WHICH QUESTIONS ASKED IN EPFO IN 2009.
How did you chose your university?
What is the difference between Open Items and Reconciling Items on a Balance Sheet Reconciliation?
Explain me what is important to effective market analysis?
What are assets minus liabilities?
Purchase order value Rs. 10000/- 0.7% is erection chareges (inclusive of the above price) central Excise applicable & Local sales tax applicable,The above price is inclusive of all taxes.
What does the investment of personal assets by the owner will do?
Do you know compound journal entry?
IF SALES BILL PREPARED BY CHARGING CST 4 WHEN THERE IS CST 4 TO BE CHARGED. BUT NOT 2010-2011 CST IS 2%. NOW WE HAVE TO PREPARED CREDIT NOTE AGAINST THAT BILLS WHICH CHARGED CST4 AT THAT TIME. THEN I HAVE TO ASK THAT HOW TO MAKE CREDIT NOTE NOW I.E 2010-2011 BY CHARGING 4% OR 2% ?
Explain fictitious assets?
1.what is the entry of petrol of payment made by credit card of owner? 2.what is the entry of petrol of payment made by credit card of Company?
