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A machine costs Rs 50,000 and installation and transport add Rs 5,000. What is its cost for depreciation?
ARs 55,000
BRs 50,000
CRs 45,000
DRs 5,000
Answer & Solution
Correct answer: A. Rs 55,000
Costs needed to bring the asset into working condition are added, so 50,000 plus 5,000 equals 55,000.
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