alleryStart learning →A vehicle costing 17,000 with 2,000 salvage is expected to run 50,000 miles. Depreciation per mile is?
A0.34
B0.40
C0.04
D0.30
Answer & Solution
Correct answer: D. 0.30
(17,000 minus 2,000) divided by 50,000 miles is 0.30 per mile.
Keep practising Depreciation and Amortisation
Browse all Depreciation and Amortisation questions for CA Foundation, or explore more Accounting topics.
Related questions
How does depreciation expense affect the reported net income?Depletion is most used in which group of industries?Depletion is the using up of natural resources by which activity?Cost depletion allocates the cost of a resource in proportion to what?Pooling of similar assets bought in one year helps tax systems to?Buildings are generally given what depreciable lives under tax systems?For tax depreciation, bare land generally receives?A tax system that allows a fixed percentage of cost each year is called?