7732Chemical EngineeringMedium
‘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 year‟s digit method will be________?
A[2 (n – m + 1)/n(n + 1)]. (P – S)
B(P – S)/n
C1 – (P/S)1/m
D(m/n) (P – S)
Correct answer
A. [2 (n – m + 1)/n(n + 1)]. (P – S)
Explanation
The correct answer is [2 (n – m + 1)/n(n + 1)]. (P – S).