A vehicle acquired for Rs60,000 on 1st September 2005 and depreciated at 20% on

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A vehicle acquired for Rs60,000 on 1st September 2005 and depreciated at 20% on WDV was sold for Rs4,000 on 31st March 2011. Expenses of disposal was Rs200.. What is the gain or loss on disposal?

Options:

A . Rs 600 gain

B . Rs 11928 gain

C . Rs 11928 loss

D . None

Answer: Option C
:
C
Year
Value
Rate
Dep
WDV
2005-06
60000
0.2
12000
48000
2006-07
48000
0.2
9600
38400
2007-08
38400
0.2
7680
30720
2008-09
30720
0.2
6144
24576
2009-10
24576
0.2
4915.2
19660.8
2010-11
19660.8
0.2
3932.16
15728.64
Loss= Rs 15728+200-4000=11928

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