Which of the following statements is correct about Depreciation??

Accounting Mcqs
BILAL KHATTAK0

A. Depreciation cannot be provided in case of loss in a financial year 
B. Depreciation is a charge against profit 
C. Depreciation is provided in the books only when there is profit
D. Depreciation is an appropriation of profit 

Related Mcqs:

  1. Which of the following statements is true with regard to written down value method of depreciation??
  2. Revenue receipts are shown in___________??
  3. Profit on sale of old plant is:___________??
  4. A second hand car is purchased for 2,00,000 and sold at 1,40,000 after two years. If depreciation is charged @ 10% on SLM method, find the profit or loss on sale of the car??
  5. Which of the following is true with respect to providing depreciation under diminishing balance method??
  6. Which of the following statements is correct about Trial Balance??
  7. Which of the following statements is not correct about materiality??
  8. Depreciation Account appearing in the Trial Balance is shown in:?
  9. A second hand car is purchased for 2,00,000 and sold at 1,40,000 after two years. If depreciation is charged @ 10% on written down value method, find the profit or loss on sale of the Second hand car??
  10. The main objective of providing depreciation is to??

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