Chapter No. 13 – Depreciation – USHA Publication Class +1 – Solution

In this article, we have provided the Question wise solution to all Questions of Chapter No. 13 – Depreciation – USHA Publication Class +1 – Solution – 2021 But first of all, we have explained the meaning of Depreciation: –

What is Depreciation?

Depreciation means the decrease in the value of Fixed assets by passing time. It is charged only on fixed assets (except Land) Because every fixed asset has a life of more than one year but will not last indefinitely and The land has an indefinitely life so it will be appreciated. Depreciation is treated as indirect expenses of the business and transferred to the income statement of the company and profit/loss account of the business.

There are three types of decreases in the value of an asset, which refer to a different category of fixed assets shown as follows.

1. Depreciation
2. Depletion
3. Amortization

1. Depreciation is used for the Tangible fixed asset. Such as buildings, Plant, Machinery, Furniture, fixtures, vehicles, computers, etc.

2. Depletion is used in referring to the physical exhaustion of natural resources. Such as oil wells, Coal mines, etc.

3. Amortization is used for the Intangible fixed asset. Such as Goodwill, Patents, trademarks, leaseholds, etc.

Check out the full article: –

Depreciation | Meaning | Methods | Examples

Chapter No. 13 – Depreciation – USHA Publication Class +1 – Solution

Question wise solution of the all Questions of Chapter No. 13 – Depreciation – USHA Publication Class +1 – Solutions are shown below: –