Forums
Costing
In this question only machinery depreciation is taken into consideration why not machinery cost??
Devisree
CMA Inter
★ 0
26-Apr-24 14:23
84
Answers (3)
Best Answer
The answer is depreciation. Cost of machine has to be apportioned over its useful life. There is no other reasoning or logic
Pranay Mehta
Faculty
26-Apr-24 21:37
Because the cost has to be appointed over the useful life and not expensed out in a single period
26-Apr-24 20:43
Then since it is recurring it is taken but machinery purchase cost will not be recurring so it is not taken. Am I correct?
Thread Starter
26-Apr-24 20:54