Ask your parents about the date of various fixed assets purchased by them like T.V., Fridge, Motorcycle, Car etc., with its useful life and then calculate the amount of depreciation to be charged on each asset.
Aditya Raj Anand Changed status to publish March 6, 2025
To calculate the depreciation on various fixed assets like TV, fridge, motorcycle, car, etc., follow these steps:
Step 1: Gather Information
Ask your parents about the following details for each asset:
- Date of Purchase – When was the asset bought?
- Cost of Asset – The original price of the asset.
- Useful Life – The expected number of years the asset will be useful.
- Depreciation Method – Whether depreciation is calculated using the Straight-Line Method (SLM) or the Diminishing Balance Method (DBM).
- Rate of Depreciation – If given, otherwise, use the standard rate for different assets.
Aditya Raj Anand Changed status to publish March 6, 2025
Write your answer.