Scrap value of a machine is one-tenth of its actual cost. If the estimated life of the machine is ten years and the annual depreciation under linear method is ₹45000, then the cost of the machine is

Taniya purchased a car costing ₹21,00,000 which has a useful life of 15 years. The estimated scrap value of the car is ₹3,00,000. The annual depreciation using straight line method is:

A sinking fund is created for the redemption of debentures of ₹2,00,000 at the end of 25 years. How much money should be provided out of profits each year for the sinking fund, if investment can earn interest 5% per annum? [Given $(1.05)^{25}\approx3.4$]

A lady invested ₹ 10,000 in a mutual fund and the value of investment at the time of redemption was ₹ 20,000. If the compound annual growth rate (CAGR) for this investment is 25.9 %, then the number of years for which she has invested the amount is:-

[Given that : $2^{1/3}\approx 1.259$ ]

Which one of the following statement is incorrect about sinking fund?

Which of the following are correct?

(A) Sinking fund is a fixed term account.

(B) Sinking fund is set-up for a particular upcoming expense.

(C) In sinking fund any amount, any time can be deposited.

(D) Sinking fund can be used only for the purpose it was created.

Choose the correct answer from the options given below:

Which of the following statements about the Sinking Fund are correct?

(A) It is a fund established by a business entity by setting aside revenue over a period of time to fund a future capital expense.

(B) It is a fund established by a business entity by setting aside revenue over a period of time to fund a future repayment of a long-term debt.

(C) It is set up for any purpose that it may serve.

(D) It is a fund that is accumulated for the purpose of paying off a financial obligation at some future designated date.

Choose the correct answer from the options given below: