Description : If the asset is revalued then depreciation u/s 98 shall be allowed on a) Original amount b) Revalued Amount c) At fair value of similar asset d) Market Value-Notional Depreciation
Last Answer : a) Original amount
Description : Opening WDV off the block of assets was Rs 15 lakh. During the year, asset was acquired under this block on 15 June 2017 amounting to rupees 10 lakh. One of the assets falling within the block was sold for rupees 5.5 ... . rupees 1.95 lakh f. rupees 2.5 lakh g. rupees 2.25 lakh h. Rs 1.45 lakh
Last Answer : e. rupees 1.95 lakh
Description : Opening WDV off the block of assets was Rs 15 lakh. During the year, asset was acquired under this block on 15 January 2018 amounting to rupees 10 lakh. One of the assets falling within the block was sold for rupees 5.5 ... rupees 1.95 lakh b. rupees 2.5 lakh c. rupees 2.25 lakh d. Rs 1.45 lakh
Last Answer : d. Rs 1.45 lakh
Description : Opening WDV of the block of assets was Rs.15 lakh. During the year, asset was acquired under this block on 15th June2017 amounting to Rs. 10 Lakh. Rate of depreciation of the block is 15%. Calculate the amount of depreciation ... 3.5 Lakh b) Rs. 3.75 lakh c) Rs. 3.00 lakh d) Rs.2.25 Lakh
Last Answer : b) Rs. 3.75 lakh
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
Description : Is depreciation charged to reduce profits or to reduce the value of asset during a financial year?
Last Answer : It is charged to reduce value of asset.
Description : If the block of asset ceases to exist on the last day of the previous year, depreciation admissible for block of assets will be: a) Nil b) 50% of the value of the block of assets on the first day ... of the previous year d) 50% of the value of the block of assets on last day of the previous year
Last Answer : a) Nil
Description : If the asset acquired outside India by a non-resident is brought by him to India & used for business, then in that case what shall be the cost of addition? a) Value of the asset at the ... of asset less actual depreciation c) Actual cost of asset less notional depreciation d) Any of the above
Last Answer : c) Actual cost of asset less notional depreciation
Description : What is the major difference between 'Depreciation on Asset' and 'Impairment of Asset' ?
Last Answer : Depreciation of assets in the allocation of assets whose value is placed on the balance sheet. It is a kind of tangible asset that may incur a cost. While Impairment of assets in the assets of ... the balance sheet. They are usually long-term assets. The longer the span the greater the impairment.
Description : Depreciation need not be provided if the asset is not in use.
Last Answer : State True or False with reason : Depreciation need not be provided if the asset is not in use.
Description : There is no need to provide depreciation if the asset is maintained with care.
Last Answer : State whether the following statement are True or False with reason : There is no need to provide depreciation if the asset is maintained with care.
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.
Description : Depreciation = cost of Asset (-)........./Estimatedlif of Asset
Last Answer : Depreciation = \(\cfrac{cost\,of\,Asset(-)........}{Estimated\,life\,of\,Asset}\) (a) ... b) Scrap value (c) Installation charges (d) months
Description : How does asset depreciation affect my tax burden?
Last Answer : Asset Depreciation will decrease your tax amount owed. If you have assets that have decreased in value and qualify, you can file the loss on your taxes and be credited that amount toward your tax bill.
Description : Which of the following is most likely to require special planning considerations related to asset valuation? a. Accelerated depreciation methods are used for amortizing the costs of factory equipment. b. ... even when the expected life exceeds one year. d. Inventory is comprised of diamond rings.
Last Answer : Inventory is comprised of diamond rings.
Description : Why depreciation is charged to an asset?
Last Answer : As per Accounting Standards, it is a good practice to show the capital expense every period i.e. period wise. Thus, profits will be evenly shared in each period.
Description : Depreciation when the asset is used for less than 180 days during the year of acquisition shall be at Block rate of: a) 50% b) 100% c) 20% d) 15%
Last Answer : a) 50%
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
Description : Amount withdrawn by the owner for his personal expenses is called __________ (a) Drawings (b) Personal expenses (c) Cash (d) Assets
Last Answer : Amount withdrawn by the owner for his personal expenses is called __________ (a) Drawings (b) Personal expenses (c) Cash (d) Assets
Description : Which of the following does not affect cash flows from a proposal: A. Salvage value B. Depreciation amount C. Tax rate change D. Method of project financing
Last Answer : D. Method of project financing
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
Description : ___________ value is the amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties in an arm‟s length transaction.
Last Answer : Fair,
Description : Sense of territoriality and the ensuing awareness of autonomy were the main factors responsible for the __________
Last Answer : Sense of territoriality and the ensuing awareness of autonomy were the main factors responsible for ... d) formation of ancient janapadas in India.
Description : Regional Zones were called __________
Last Answer : Regional Zones were called __________ (a) Sabha (b) Sangharajya (c) Khanda (d) Mahajanpada
Description : In ancient Indian literature, the post of secretary is referred as __________
Last Answer : In ancient Indian literature, the post of secretary is referred as __________ (a) Sachiva (b) Scribae (c) Secretarius
Description : The function of a secretary to look after the inward and outward mail is called __________
Last Answer : The function of a secretary to look after the inward and outward mail is called __________ (a) Reception (b) Statutory (c) Correspondence
Description : In ancient Indian history, secretary was referred to as __________
Last Answer : In ancient Indian history, secretary was referred to as __________ (a) Scribae (b) Secretarius (c) Amatya
Description : The capital at the beginning of the accounting year is ascertained by preparing __________
Last Answer : The capital at the beginning of the accounting year is ascertained by preparing __________ (a) ... of Affairs (d) Closing Statement of Affairs
Description : Under single Entry system, Profit = Closing Capital less __________
Last Answer : Under single Entry system, Profit = Closing Capital less __________ (a) Opening Capital (b) ... Assets (c) Opening Liabilities (d) Drawings
Description : If closing capital is ₹ 30,000 and profit is ₹ 5,000 opening capital was __________
Last Answer : If closing capital is ₹ 30,000 and profit is ₹ 5,000 opening capital was __________ (a) ₹ 35,000 (b) ₹ 30,000 (c) ₹ 25,000 (d) ₹ 15,000
Description : The difference between the capital at the end of the year and capital at the beginning of the year is called __________
Last Answer : The difference between the capital at the end of the year and capital at the beginning of the year is ... (b) Income (c) Drawings (d) Expenses
Description : A list of balances of all the accounts in ledger is called __________
Last Answer : A list of balances of all the accounts in ledger is called __________ (a) Balance Sheet (b) Profit and ... c (c) Trading A/c (d) Trial Balance
Description : The ancient civilisations of Mesopotamia and Harappa had cultural ties with each other because of __________
Last Answer : Choose the correct reason and complete the sentence: The ancient civilisations of Mesopotamia and ... were found (d) impressive town planning
Description : The first settlement of the Early Harappan period was established __________
Last Answer : Choose the correct reason and complete the sentence: The first settlement of the Early Harappan period was established ... .E (d) around 3300 B.C.E
Description : The evidence of the first excavations at Harappa had indicated __________
Last Answer : Choose the correct reason and complete the sentence: The evidence of the first excavations at Harappa ... (d) the decline of Harappan civilisation.
Description : Lothal was excavated by __________
Last Answer : Lothal was excavated by __________ (a) J. P. Joshi (b) S. R. Rao (c) R. D. Banerjee (d) Madho Swarup
Description : Left hand side of an account is called __________
Last Answer : Left hand side of an account is called __________ (a) Credit (b) Debit (c) Middle (d) Centre
Description : Customs and traditions which guide the accountants to prepare accounting statements are called __________
Last Answer : Customs and traditions which guide the accountants to prepare accounting statements are called __________ (a) ... (c) Concepts (d) Procedure
Description : Financial statements are a part of __________
Last Answer : Financial statements are a part of __________ (a) Book keeping (b) Planning (c) Accounting (d) None of these
Description : In cash transaction, goods or services are exchanged for __________
Last Answer : In cash transaction, goods or services are exchanged for __________ (a) other goods (b) other services (c) immediate cash (d) grains
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?
Description : Under the __________ system of depreciation, the amount of depreciation does not change from year to year.
Last Answer : Under the __________ system of depreciation, the amount of depreciation does not change from year to year. ... (c) Depletion (d) Machine Hour Rate
Description : In fixed instalment system the amount of depreciation is ____________ every year.
Last Answer : In fixed instalment system the amount of depreciation is ____________ every year. (a) constant (b) fluctuating (c) increased (d) decreased
Description : Capital : Output Ratio of a measures - (1) its per unit cost of production (2) the amount of capital invested per unit of output (3) the ratio of capital depreciation to quantity of output (4) the ratio of working capital employed to quantity of output
Last Answer : (2) the amount of capital invested per unit of output Explanation: Capital output ratio is the ratio of capital used to produce an output over a period of time. This ratio has a tendency to be ... its resources in lieu of capital to boost its output; hence the resulting capital output ratio is low.
Description : Capital output ratio of a commodity measures - (1) its per unit cost of production (2) the amount of capital invested per unit of output (3) the ratio of capital depreciation to quantity of output (4) the ratio of working capital employed to quantity of output
Last Answer : (2) the amount of capital invested per unit of output Explanation: Capital Output Ratio is the ratio of capital used to produce an output over a period of time. This ratio has a tendency ... order to increase the output. When countries use their natural resources instead of capital then COR reduces.
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
Description : R, an assessee carries on business in respect of which it holds tenancy rights. It carries out improvements to the said building at a cost of Rs. 2 lakhs and claims depreciation @ 10% thereon. Which one of ... Deduction will be allowed of Rs. 2 Lakh d) The amount of Rs.2.2 lakh will be capitalized
Last Answer : b) Depreciation will be allowed of Rs.20 thousand
Description : Capital output ratio of a commodity measures (1) its per unit cost of production (2) the amount of capital invested per unit of output (3) the ratio of capital depreciation to quantity of output (4) the ratio of working capital employed to quantity of output
Last Answer : the amount of capital invested per unit of output
Description : ____________ is the amount invested by the owner of a business. (a) Cash (b) Money (c) Asset (d) Capital
Last Answer : ____________ is the amount invested by the owner of a business. (a) Cash (b) Money (c) Asset (d) Capital
Description : Amount of calls in advance is treated as a) Secured creditor b) Preferential creditor c) Asset not specifically pledged d) Unsecured creditor
Last Answer : b) Preferential creditor