Annual depreciation cost are not constant when, the __________ method of depreciation calculation is used. (A) Straight line (B) Sinking fund (C) Present worth (D) Declining balance

Annual depreciation cost are not constant when, the __________ method of depreciation calculation is used.
(A) Straight line
(B) Sinking fund
(C) Present worth
(D) Declining balance
by

1 Answer

Answer :

(D) Declining balance
by

Related questions

Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method? (A) Multiple straight line method (B) Sinking fund method (C) Declining balance method (D) Sum of the years digit method

Description : Which of the following methods of depreciation calculations results in book values greater than those obtained with straight line method? (A) Multiple straight line method (B) Sinking fund method (C) Declining balance method (D) Sum of the years digit method

Last Answer : (B) Sinking fund method

In declining balance method of depreciation calculation, the (A) Value of the asset decreases linearly with time (B) Annual cost of depreciation is same every year (C) Annual depreciation is the fixed percentage of the property value at the beginning of the particular year (D) None of these

Description : In declining balance method of depreciation calculation, the (A) Value of the asset decreases linearly with time (B) Annual cost of depreciation is same every year (C) Annual depreciation is the fixed percentage of the property value at the beginning of the particular year (D) None of these

Last Answer : (C) Annual depreciation is the fixed percentage of the property value at the beginning of the particular year

Out of the following, the depreciation calculated by the __________ method is the maximum. (A) Diminishing balance (B) Straight line (C) Sum of the years digit (D) Sinking fund

Description : Out of the following, the depreciation calculated by the __________ method is the maximum. (A) Diminishing balance (B) Straight line (C) Sum of the years digit (D) Sinking fund

Last Answer : A) Diminishing balance

Depreciation of machines fails under the indirect expenses head. As per income tax regulations, it is calculated by the __________ method. (A) Diminishing balance (B) Sinking fund (C) Multiple straight line (D) Sum of the years digit

Description : Depreciation of machines fails under the indirect expenses head. As per income tax regulations, it is calculated by the __________ method. (A) Diminishing balance (B) Sinking fund (C) Multiple straight line (D) Sum of the years digit

Last Answer : (A) Diminishing balance

________ of depreciation calculation accounts for the interest on investment. (A) Straight line method (B) Declining balance (C) Both (A) and (B) (D) Neither (A) nor (B)

Description : ________ of depreciation calculation accounts for the interest on investment. (A) Straight line method (B) Declining balance (C) Both (A) and (B) (D) Neither (A) nor (B)

Last Answer : D) Neither (A) nor (B)

An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from the time of initial payment to the end of annuity term. Ordinary annuity is used in the calculation of the (A) Manufacturing cost (B) Depreciation by sinking fund method (C) Discrete compound interest (D) Cash ratio

Description : An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from ... cost (B) Depreciation by sinking fund method (C) Discrete compound interest (D) Cash ratio

Last Answer : (B) Depreciation by sinking fund method

Depreciation (A) Costs (on annual basis) are constant when the straight line method is used for its determination (B) Is the unavoidable loss in the value of the plant, equipment and materials with lapse in time (C) Does figure in the calculation of income tax liability on cash flows from an investment (D) All (A), (B) and (C)

Description : Depreciation (A) Costs (on annual basis) are constant when the straight line method is used for its determination (B) Is the unavoidable loss in the value of the plant, equipment and materials with lapse in time ... income tax liability on cash flows from an investment (D) All (A), (B) and (C)

Last Answer : (D) All (A), (B) and (C)

A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years. The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value of the reactor after 5 years using sinking fund depreciation method will be Rs. (A) 40,096 (B) 43,196 (C) 53,196 (D) 60,196

Description : A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years. The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value of the reactor after 5 years ... method will be Rs. (A) 40,096 (B) 43,196 (C) 53,196 (D) 60,196

Last Answer : D) 60,196

The depreciation during the year 'n', in diminishing balance method of depreciation calculation, is calculated by multiplying a fixed percentage 'N' to the (A) Initial cost (B) Book value at the end of (n - 1)th year (C) Depreciation during the (n - 1)th year (D) Difference between initial cost and salvage value

Description : The depreciation during the year 'n', in diminishing balance method of depreciation calculation, is calculated by multiplying a fixed percentage 'N' to the (A) Initial cost (B) Book value at the end ... ) Depreciation during the (n - 1)th year (D) Difference between initial cost and salvage value

Last Answer : (B) Book value at the end of (n - 1)th year

A machine has an initial value of Rs. 5000, service life of 5 years and final salvage value of Rs. 1000. The annual depreciation cost by straight line method is Rs. (A) 300 (B) 600 (C) 800 (D) 1000

Description : A machine has an initial value of Rs. 5000, service life of 5 years and final salvage value of Rs. 1000. The annual depreciation cost by straight line method is Rs. (A) 300 (B) 600 (C) 800 (D) 1000

Last Answer : (C) 800

The method which depreciates the tractor or machine to zero at the end of its expected life is known as: A. Estimated value B. Sum-of-the digits C. Declining balance D. Straight line

Description : The method which depreciates the tractor or machine to zero at the end of its expected life is known as: A. Estimated value B. Sum-of-the digits C. Declining balance D. Straight line

Last Answer : D. Straight line

why Novelty Chemicals bought a Motor Vehicle for$110,000 on January 5, 2016. The estimated usefullife of the vehicle is ten years. The disposal valueis estimated at $10,000. Annual depreciation is onthe straight line method?

Description : why Novelty Chemicals bought a Motor Vehicle for$110,000 on January 5, 2016. The estimated usefullife of the vehicle is ten years. The disposal valueis estimated at $10,000. Annual depreciation is onthe straight line method?

Last Answer : Novelty Chemicals bought a Motor Vehicle for$110,000 on January 5, 2016. The estimated usefullife of the vehicle is ten years. The disposal valueis estimated at $10,000. Annual ... for annualdepreciation.d) The Balance Sheet extracts for motor vehicle and itsrelated depreciation.full question

Annual depreciation as per straight line method, is calculated by?

Last Answer : Annual depreciation as per straight line method, is calculated by the capital cost minus the salvage value, is divided by the number of years of life.

An earth moving equipment costs Rs. 5,00,000 and has an estimated life of 10 years and a salvage value of Rs. 50,000. What uniform annual amount must be set aside at the end of each of the 10 years for replacement if the interest rate is 8% per annum and if the sinking fund factor at 8% per annum interest rate for 10 years is 0.069? (A) Rs. 31050 (B) Rs. 34500 (C) Rs. 37950 (D) Rs. 5000

Description : An earth moving equipment costs Rs. 5,00,000 and has an estimated life of 10 years and a salvage value of Rs. 50,000. What uniform annual amount must be set aside at the end of each of the 10 years for replacement if ... years is 0.069? (A) Rs. 31050 (B) Rs. 34500 (C) Rs. 37950 (D) Rs. 5000

Last Answer : (A) Rs. 31050

The value of a property decreases __________ with time in straight line method of determining depreciation. (A) Linearly (B) Non-linearly (C) Exponentially (D) Logarithmically

Description : The value of a property decreases __________ with time in straight line method of determining depreciation. (A) Linearly (B) Non-linearly (C) Exponentially (D) Logarithmically

Last Answer : A) Linearly

The depreciation method which reduces the value of a machine by equal amount each year during the useful life is known as a) Estimated method b) constant percentage method c) compound interest method d) straight line method

Description : The depreciation method which reduces the value of a machine by equal amount each year during the useful life is known as a) Estimated method b) constant percentage method c) compound interest method d) straight line method

Last Answer : d) straight line method

The original cost of an equipment is Rs.10,000. Its salvage value at the end of its total useful life of five years is Rs. 1,000. Its book value at the end of two years of its useful life (as per straight line method of evaluation of depreciation) will be (A) Rs. 8,800 (B) Rs. 7,600 (C) Rs. 6,400 (D) Rs. 5,000

Description : The original cost of an equipment is Rs.10,000. Its salvage value at the end of its total useful life of five years is Rs. 1,000. Its book value at the end of two years of its useful life (as per straight line method of evaluation ... be (A) Rs. 8,800 (B) Rs. 7,600 (C) Rs. 6,400 (D) Rs. 5,000

Last Answer : (C) Rs. 6,400

A machine is purchased for Rs. 10,000,00 and has an estimated life of 10 years. The salvage value at the end of 10 years is Rs. 1,50,000. The book value of the machine at the end of 5 years using general straight line method of evaluation of depreciation is (A) Rs. 4,75,000 (B) Rs. 5,75,000 (C) Rs. 6,50,000 (D) Rs. 8,50,000

Description : A machine is purchased for Rs. 10,000,00 and has an estimated life of 10 years. The salvage value at the end of 10 years is Rs. 1,50,000. The book value of the machine at the end of 5 years using general straight line method ... Rs. 4,75,000 (B) Rs. 5,75,000 (C) Rs. 6,50,000 (D) Rs. 8,50,000

Last Answer : (B) Rs. 5,75,000

Give equation for calculating depreciation under straight-line method.

Description : Give equation for calculating depreciation under straight-line method.

Last Answer : Dep per annum= cost-salvage/useful life;

An excavator costs Rs. 20,00,000 and has an estimated life of 8 years. It has no salvage value at the end of 8 years. The book value of the excavator at the end of 3 years using general double declining balance method is (A) Rs. 8,43,750 (B) Rs. 8,75,000 (C) Rs. 10,50,000 (D) Rs. 11,56,250

Description : An excavator costs Rs. 20,00,000 and has an estimated life of 8 years. It has no salvage value at the end of 8 years. The book value of the excavator at the end of 3 years using general double declining balance method is (A) Rs. 8,43,750 (B) Rs. 8,75,000 (C) Rs. 10,50,000 (D) Rs. 11,56,250

Last Answer : (A) Rs. 8,43,750

Under the Reducing Balance, method depreciation is charged on the original cost.

Description : Under the Reducing Balance, method depreciation is charged on the original cost.

Last Answer : State whether the following statement are True or False with reason : Under the Reducing ... method depreciation is charged on the original cost.

Sinking fund is (A) The fund for rebuilding a structure when its economic life is over (B) Raised to meet maintenance costs (C) The total sum to be paid to the municipal authorities by the tenants (D) A part of the money kept in reserve for providing additional structures and structural modifications

Description : Sinking fund is (A) The fund for rebuilding a structure when its economic life is over (B) Raised to meet maintenance costs (C) The total sum to be paid to the municipal ... tenants (D) A part of the money kept in reserve for providing additional structures and structural modifications

Last Answer : (A) The fund for rebuilding a structure when its economic life is over

Pick out the wrong statement. (A) The annual depreciation rate for machinery and equipments in a chemical process plant is about 10% of the fixed capital investment (B) Annual depreciation rate of buildings in a chemical plant is about 3% of its initial cost (C) Insurance rates on annual basis in a chemical plant may be about 1% of the fixed capital investment (D) In a chemical industry, research and development cost amounts to about 15% of net sales realisation (NSR)

Description : Pick out the wrong statement. (A) The annual depreciation rate for machinery and equipments in a chemical process plant is about 10% of the fixed capital investment (B) Annual depreciation rate ... chemical industry, research and development cost amounts to about 15% of net sales realisation (NSR)

Last Answer : (D) In a chemical industry, research and development cost amounts to about 15% of net sales realisation (NSR)

Pick out the wrong statement. (A) Different solids have different equilibrium moisture curves (B) Total condenser or reboiler is considered equivalent to one theoretical plate in McCabe-Thiele method of theoretical plate calculation for distillation column (C) Heat removal load on cooler remains constant, even with increase of the reflux ratio in a distillation column (D) Even a forced draft cooling tower cannot cool water below the wet bulb temperature

Description : Pick out the wrong statement. (A) Different solids have different equilibrium moisture curves (B) Total condenser or reboiler is considered equivalent to one theoretical plate in McCabe-Thiele method of ... (D) Even a forced draft cooling tower cannot cool water below the wet bulb temperature

Last Answer : (C) Heat removal load on cooler remains constant, even with increase of the reflux ratio in a distillation column

What is the Reducing Balance Method of charging depreciation?

Description : What is the Reducing Balance Method of charging depreciation?

Last Answer : What is the Reducing Balance Method of charging depreciation?

Give equation for calculating depreciation under reducing balance method.

Description : Give equation for calculating depreciation under reducing balance method.

Last Answer : Dep per annum= (NBV- Salvage)*rate;

If variable part of annual cost on account of interest and depreciation on the capital outlay is equal to the annual cost of electrical energy wasted in the conductors, the total annual cost will be minimum and the corresponding size of conductor will be most economical. This statement is known as (a) Kelvin's law (b) Ohm's law (c) Kirchhoffs law (d) Faraday's law (e) none of the above

Description : If variable part of annual cost on account of interest and depreciation on the capital outlay is equal to the annual cost of electrical energy wasted in the conductors, the total annual cost will be minimum and the ... (b) Ohm's law (c) Kirchhoffs law (d) Faraday's law (e) none of the above

Last Answer : (a) Kelvin's law

Annual depreciation of a machine is included in : A)fixed cost b)variable cost C)hiring cost d)none of them

Description : Annual depreciation of a machine is included in : A)fixed cost b)variable cost C)hiring cost d)none of them

Last Answer : A)fixed cost

Depreciation is calculated: a. using a 3-year MACRS. b. using a 5-year MACRS. c. over a straight line 5-year period. d. over a straight line 10-year period. e. over a straight line 15-year period.

Description : Depreciation is calculated: a. using a 3-year MACRS. b. using a 5-year MACRS. c. over a straight line 5-year period. d. over a straight line 10-year period. e. over a straight line 15-year period.

Last Answer : e. over a straight line 15-year period.

Depreciation under ICDS-V shall be charged in accordance with : a) Income Tax Act 1961 b) Companies Act 2013 c) Notified Rate –CBEC d) Straight line over the useful life

Description : Depreciation under ICDS-V shall be charged in accordance with : a) Income Tax Act 1961 b) Companies Act 2013 c) Notified Rate –CBEC d) Straight line over the useful life

Last Answer : a) Income Tax Act 1961

In McCabe-Thiele method of theoretical plate calculation for a distillation column, the operating lines of stripping and rectifying sections coincide with the diagonal at __________ reflux. (A) Total (B) Minimum (C) Operating (D) Maximum permissible

Description : In McCabe-Thiele method of theoretical plate calculation for a distillation column, the operating lines of stripping and rectifying sections coincide with the diagonal at __________ reflux. (A) Total (B) Minimum (C) Operating (D) Maximum permissible

Last Answer : (A) Total

The following data, relates to manufacturing company for the year 2006-07– Net Profit as per P & L A/c–Rs. 2,40,000; Depreciation–Rs. 80,000; Goodwill written-off– Rs. 40,000, Profit on Sale of Fixed Assets–Rs. 16,000, Proposed Dividend–Rs. 96,000. The fund from operation would be– (A) Rs. 4,40,000 (B) Rs. 4,00,000 (C) Rs. 6,40,000 (D) None of the above

Description : The following data, relates to manufacturing company for the year 2006-07- Net Profit as per P & L A/c-Rs. 2,40,000; Depreciation-Rs. 80,000; Goodwill written-off- Rs. 40,000, Profit on Sale of Fixed Assets-Rs. 16,000, ... ) Rs. 4,40,000 (B) Rs. 4,00,000 (C) Rs. 6,40,000 (D) None of the above

Last Answer : Answer: None of the above

From the information given below, calculate Debt service coverage Ratio– Net profit after interest and Tax Rs. 40,000, Depreciation Rs. 5,000, Rate of Income Tax 50%, 10% Mortgage Debentures Rs. 60,000. Fixed Interest Charges Rs. 6,000, Debenture Redemption Fund Appropriation of Outstanding Debentures 10%. (A) 4•06 times (B) 5•06 times (C) 6•06 times (D) 7•06 times

Description : From the information given below, calculate Debt service coverage Ratio- Net profit after interest and Tax Rs. 40,000, Depreciation Rs. 5,000, Rate of Income Tax 50%, 10% Mortgage Debentures Rs. 60,000. Fixed Interest Charges Rs. 6 ... . (A) 4 06 times (B) 5 06 times (C) 6 06 times (D) 7 06 times

Last Answer : Answer: 4•06 times

Depreciation is a source of fund------------------- a) Yes b) No c) Both yes or no d) None of these

Description : Depreciation is a source of fund------------------- a) Yes b) No c) Both yes or no d) None of these

Last Answer : a) Yes

Salaries Rs.20000,depreciation for the period is Rs.30000 other operating expenses are Rs.9000, net loss for the period is Rs.5000 fund generated from operation is------------------ a) Rs.25000 b) Rs.15000 c) Rs.35000 d) Rs.14000

Description : Salaries Rs.20000,depreciation for the period is Rs.30000 other operating expenses are Rs.9000, net loss for the period is Rs.5000 fund generated from operation is------------------ a) Rs.25000 b) Rs.15000 c) Rs.35000 d) Rs.14000

Last Answer : a) Rs.25000

In the fund flow statement, depreciation is---------------- a) Deducted from net profit b) Added to net profit c) Sources of working capital d) Ignored

Description : In the fund flow statement, depreciation is---------------- a) Deducted from net profit b) Added to net profit c) Sources of working capital d) Ignored

Last Answer : b) Added to net profit

Under which method of depreciation the amount of depreciation remains constant every year?

Description : Under which method of depreciation the amount of depreciation remains constant every year?

Last Answer : Under which method of depreciation the amount of depreciation remains constant every year?

A Firm is considering undertaking a project that would yield annual profits (after depreciation) of Rs 68,000 for 5 years. The initial outlay of the project would be Rs 800,000 and the project's assets would have a residual value of Rs 50,000 at the end of the project. What would be the accounting rate of return for this project? A 16% B 8.5% C 8.0% D 9.1%

Description : A Firm is considering undertaking a project that would yield annual profits (after  depreciation) of Rs 68,000 for 5 years. The initial outlay of the project would be Rs  800,000 and the project's assets would have ... accounting rate of return for this project?  A 16%  B 8.5%  C 8.0%  D 9.1%

Last Answer : A 16%

Kirti Co’s Balance Sheet shows Fixed Asset Rs. 3,60,000. At the time of absorption calculation of Net Assets is 10% less than the market value, then market value of such fixed assets is ............ (A) Rs. 3,24,000 (B) Rs. 4,00,000 (C) Rs. 4,20,000 (D) None of these

Description : Kirti Co’s Balance Sheet shows Fixed Asset Rs. 3,60,000. At the time of absorption calculation of Net Assets is 10% less than the market value, then market value of such fixed assets is ............ (A) Rs. 3,24,000 (B) Rs. 4,00,000 (C) Rs. 4,20,000 (D) None of these

Last Answer : (B) Rs. 4,00,000

Total product cost of a chemical plant does not include the __________ cost. (A) Market survey (B) Operating labour, supervision and supplies (C) Overhead and utilities (D) Depreciation, property tax and insurance

Description : Total product cost of a chemical plant does not include the __________ cost. (A) Market survey (B) Operating labour, supervision and supplies (C) Overhead and utilities (D) Depreciation, property tax and insurance

Last Answer : (A) Market survey

At the balance sheet date, the balance on the Accumulated Provision for Depreciation Account is A) Transferred to Depreciation Account B) Transferred to the Asset Account C) Transferred to Profit and Loss Account D) Simply deducted from the asset in the Balance Sheet

Description : At the balance sheet date, the balance on the Accumulated Provision for Depreciation Account is A) Transferred to Depreciation Account B) Transferred to the Asset Account C) Transferred to Profit and Loss Account D) Simply deducted from the asset in the Balance Sheet

Last Answer : Answer: D

Design calculation for multiple component distillation is done by (A) Ponchon-Savarit method (B) McCabe-Thiele method (C) Enthalpy concentration method (D) Tray to tray calculations

Description : Design calculation for multiple component distillation is done by (A) Ponchon-Savarit method (B) McCabe-Thiele method (C) Enthalpy concentration method (D) Tray to tray calculations

Last Answer : (D) Tray to tray calculations

_________ method for profitability evaluation of a project does not account for investment cost due to land. (A) Net present worth (B) Pay out period (C) Discounted cash flow (D) Rate of return on investment

Description : _________ method for profitability evaluation of a project does not account for investment cost due to land. (A) Net present worth (B) Pay out period (C) Discounted cash flow (D) Rate of return on investment

Last Answer : (B) Pay out period

(i) Fixed Installment Method of depreciation is also known as _________ cost method.

Description : (i) Fixed Installment Method of depreciation is also known as _________ cost method.

Last Answer : Complete the following sentence : (i) Fixed Installment Method of depreciation is also known as ... year. (v) Depreciation is ________ expenses.

(i) The method of charging depreciation under which depreciation is calculated on the original cost of an asset.

Description : (i) The method of charging depreciation under which depreciation is calculated on the original cost of an asset.

Last Answer : Write the word/term/phrase which can substitute each of the following statements: (i) The method ... , etc. incurred for the erection of machinery.

The part of the brain responsible for maintain balance like walking in a straight line or riding a bicycle is called – (1) Medulla (2) Pons (3) Pituitary Gland (4) Cerebellum

Description : The part of the brain responsible for maintain balance like walking in a straight line or riding a bicycle is called – (1) Medulla (2) Pons (3) Pituitary Gland (4) Cerebellum

Last Answer : (4) Cerebellum Explanation: These functions are made possible due to a part of the hind-brain called the cerebellum. It is responsible for precision of voluntary actions.

Ponchon-Savarit method analyses the fractional equipment based on (A) Enthalpy balance only (B) Material balance only (C) Both enthalpy and material balances (D) The assumption of constant molal-overflow

Description : Ponchon-Savarit method analyses the fractional equipment based on (A) Enthalpy balance only (B) Material balance only (C) Both enthalpy and material balances (D) The assumption of constant molal-overflow

Last Answer : (C) Both enthalpy and material balances

The important dimensional group involved in the power requirement calculation in mixing operation is the __________ number. (A) Reynold's (B) Froude (C) Both (A) & (B) (D) Neither (A) nor (B)

Description : The important dimensional group involved in the power requirement calculation in mixing operation is the __________ number. (A) Reynold's (B) Froude (C) Both (A) & (B) (D) Neither (A) nor (B)

Last Answer : (C) Both (A) & (B)

Calculation of mass transfer co-efficient is mostly/normally done using __________ theory. (A) Surface renewal (B) Film (C) Penetration (D) None of these

Description : Calculation of mass transfer co-efficient is mostly/normally done using __________ theory. (A) Surface renewal (B) Film (C) Penetration (D) None of these

Last Answer : (B) Film