‘P’ is the investment made on an equipment, ‘S’ is its salvage value and ‘n is the life of the equipment in years. The depreciation for rath year by the sum-of years digit method will be

Question: ‘P’ is the investment made on an equipment, ‘S’ is its salvage value and ‘n is the life of the equipment in years. The depreciation for rath year by the sum-of years digit method will be
[A].

[B].

[C].

[D].

Answer: Option D

Explanation:

No answer description available for this question.

An investment of Rs. 1000 is carrying an interest of 10% compounded quarterly. The value of the investment at the end of five years will be

Question: An investment of Rs. 1000 is carrying an interest of 10% compounded quarterly. The value of the investment at the end of five years will be
[A].

[B].

1000 (1 + 0.1)20

[C].

[D].

Answer: Option A

Explanation:

No answer description available for this question.

A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years. The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value of the reactor after 5 years using sinking fund depreciation method will be Rs.

Question: A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years. The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value of the reactor after 5 years using sinking fund depreciation method will be Rs.
[A].

40096

[B].

43196

[C].

53196

[D].

60196

Answer: Option D

Explanation:

No answer description available for this question.

An investment of Rs. 100 lakhs is to be made for construction of a plant, which will take two years to start production. The annual profit from the operation of the plant is Rs. 20 lakhs. What will be the pay back time ?

Question: An investment of Rs. 100 lakhs is to be made for construction of a plant, which will take two years to start production. The annual profit from the operation of the plant is Rs. 20 lakhs. What will be the pay back time ?
[A].

5 years

[B].

7 years

[C].

12 years

[D].

10 years

Answer: Option B

Explanation:

No answer description available for this question.

In a manufacturing industry, break even point occurs, when the

Question: In a manufacturing industry, break even point occurs, when the
[A].

total annual rate of production equals the assigned value.

[B].

total annual product cost equals the total annual sales.

[C].

annual profit equals the expected value.

[D].

annual sales equals the fixed cost.

Answer: Option B

Explanation:

No answer description available for this question.