How is depreciation shown in the profit and loss account?
As income
As loss
As expense
As profit
Which is connected to fixed assets such as wells and mines?
Depletion
Passage of time
Depreciation
Prudence
When a fixed asset is sold, it should be recorded in:
Sales account
Purchase account
Disposal of fixed asset
Equity
Depreciation does not involve out flow of money because:
It is a non-monetary expense
It is an income
It is a capital expenditure
It is prudence
Sale of a fixed asset is:
Capital expenditure
Capital receipt
Revenue expenditure
Revenue receipt
The asset value cost less depreciation is:
Diminishing balance method
Written down value method
Residual method
Revaluation method
In the case of capital expenditure , the expense will be treated as:
An expenses
An income
Loss
Not an expenses
The difference between balance of asset and provision for depreciation of asset account will show:
Net book value
Written down value
Residual
The another name of straight line method.
Fixed instalment method
Diminishing method
Written off method
Reducing method
The result of wear and tear is:
Physical deterioration
Gains