ExamBro
ExamBro
CUET · MATHS · PYQ PAPER 2025

A machine costing Rs. \(25000\) has a useful life of \(4\) years. The estimated scrap value is Rs. \(5000\) . The annual depreciation by linear method is:

  1. A Rs. \(6000\)
  2. B Rs. \(5000\)
  3. C Rs. \(5500\)
  4. D Rs. \(4500\)
Verified Solution

Answer & Solution

Correct Answer

(B) Rs. \(5000\)

Step-by-step Solution

Detailed explanation

Annual Depreciation \(= \frac{\text{Cost} - \text{Scrap Value}}{\text{Useful Life}}\) Annual Depreciation \(= \frac{25000 - 5000}{4}\) Annual Depreciation \(= \frac{20000}{4}\) Annual Depreciation \(= 5000\)