Question on: JAMB Accounting - 2024
An equipment costing #9,000 has an estimated residual value of #900, and is depreciated at 10% per annum. Using the straight-line method, what is the depreciation charge for the second year?
A
#810
B
#900
C
#990
D
#1,000
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Correct Option: A
Depreciable Amount = 9,000 − 900 = 8,100
Annual Depreciation (10%) = 8,100 × 10% = ₦810
Straight-line gives the same charge each year.
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