Under the straight-line method of depreciation, the depreciation amount: MCQ with Answer and Explanation

Question

Share Report Error

Under the straight-line method of depreciation, the depreciation amount:

A. Remains constant every year

B. Is based on usage

C. Increases every year

D. Decreases every year

Answer: Option A

Solution (By JKSSB Mock Tests)

Straight-line method charges equal amount of depreciation each year over the useful life of the asset.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Accountancy and Book Keeping Questions

Question #1

The 'Expected Credit Loss' model (Ind AS 109) requires recognition of impairment on:

A. 12-month expected credit losses or lifetime expected credit losses depending on credit risk

B. Only when default occurs

C. Only incurred losses

D. No provision

View Answer & Solution Discuss

Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option A

Explanation:
ECL model recognises either 12-month ECL (Stage 1) or lifetime ECL (Stage 2/3) based on deterioration in credit risk.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Question #2

The 'Customs Act, 1962' empowers the Central Government to:

A. Regulate company law

B. Impose GST

C. Regulate imports and exports and levy customs duties

D. Collect income tax

View Answer & Solution Discuss

Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option C

Explanation:
Customs Act governs import and export of goods and levy of customs duties.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Question #3

A social audit report is:

A. Legally mandatory for all companies

B. Voluntary or mandated by specific statutes like Mahatma Gandhi NREGA

C. Conducted by the Comptroller and Auditor General only

D. Part of tax audit

View Answer & Solution Discuss

Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option B

Explanation:
Social audit is mandated for certain government schemes (e.g., MGNREGA) and may be voluntary for others. It is not universally mandatory for all companies.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

Explore All Accountancy and Book Keeping MCQs