CBSE Class 11 Depreciation, Provisions and Reserves — practice questions
13 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice CBSE Class 11 Depreciation, Provisions and Reserves in the app →Depreciation is the gradual and permanent decrease in the value of a ___ asset due to use and passage of time:Under the straight line method, the amount of depreciation charged each year:Under the written down value (diminishing balance) method, depreciation is charged on the:The estimated residual value of an asset at the end of its useful life is called its:The decline in the value of natural resources such as mines and oil wells is specifically called:The writing off of the cost of intangible assets such as goodwill and patents is called:A fall in the value of an asset because it becomes out-of-date due to new technology is called:An amount set aside out of profits to meet a known liability of uncertain amount is a:An amount set aside out of profits to strengthen the financial position of a business is a:Creating a provision for depreciation has the effect of ___ the net profit of the business:A reserve created for a specific purpose, such as a dividend equalisation reserve, is a:Charging depreciation is necessary mainly to:Under the straight line method, annual depreciation equals (cost − scrap value) divided by the: