Download App

Depreciation — Book Keeping & Accountancy STD 11 Commerce / Arts — Question

Maharashtra BoardEnglish MediumSTD 11 Commerce / ArtsBook Keeping & AccountancyDepreciation2 Marks
Question
Depreciation is charged on Current Assets only.
✓

Answer

This statement is False.
Depreciation is charged only on fixed assets and not on current assets working life of fixed assets is longer and it decreases with passes of time. The value of fixed assets decreases every year so depreciation is charged on fixed assets.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "State whether the following statements are true or false with reasons" from Depreciation→Depreciation — all question types→Book Keeping & Accountancy STD 11 Commerce / Arts question papers→Maharashtra Board STD 11 Commerce / Arts question papers→Maharashtra Board question paper generator→

Similar questions

Businessman generally operates savings bank account.
→
Ledger is a book of Original Entry.
→
Balance of personal a/c is brought down for the next year.
→
A discount account is a nominal account.
→
The process of recording a transaction in the Journal is called Posting.
→
Balance of the depreciation account is transferred to Profit and Loss A/c.
→
Accounting is the language of business.
→
Contingent liabilities can also be called doubtful liabilities.
→
Outstanding salary is a nominal account.
→
A cash withdrawal from business by the trader should be credited to Drawings A/c.
→