The original cost of an equipment is Rs.10,000/-. Its salvage value at – McqOptions

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1.	The original cost of an equipment is Rs.10,000/-. Its salvage value at the end of its total useful life of five years is Rs. 1,000/-. Its book value at the end of two years of its useful life (as per straight line method of evaluation of depreciation) will be________________?
A.	Rs. 8,800/-
B.	Rs. 7,600/-
C.	Rs. 6,400/-
D.	Rs. 5,000/-
Answer» D. Rs. 5,000/-

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