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On admission 20 percent of equipment with book value ₹128000 becomes useless and the remaining value increases by 15 percent. What is the net result?

Answer and explanation

Correct answer: ₹10240 gain

The useless part is a loss of ₹25600 and 15 percent increase on remaining ₹102400 is a gain of ₹15360. Net result is a loss of ₹10240.

Related tags

EquipmentObsoletePercentageAsset RevaluationReconstitution Admission Of A PartnerAccountancyClass 12 Mcq

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