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A. Valuation
B. Valuation and allocation
C. Allocation
D. Appropriation

A. Calculate the true profit
B. Show the true financial position in the Balance Sheet
C. Provide funds for replacement of fixed assets
D. Both A. and B. above

A. Regular reduction of asset value to correspond to changes in market value as the asset ages
B. A process of correlating the market value of an asset with its gradual decline in physical efficiency
C. Allocation of cost in a manner that will ensure that Plant and Equipment items are not carried on the Balance Sheet in excess of net realizable value
D. Allocation of the cost of an asset to the periods in which services are received from the asset

A. The amount of depreciation keeps increasing every year while the rate of depreciation keeps decreasing
B. The amount of depreciation and the rate of depreciation decrease every year
C. The amount of depreciation decreases while the rate of depreciation remains the same
D. The amount of depreciation and the rate of depreciation increases every year

A. Loss of 20,000
B. Loss of 22,000
C. Loss of 11,000
D. Profit of 11,000

A. 20,000 Loss
B. 20,000 Profit
C. 10,000 Loss
D. 10,000 Profit

A. Straight line Method
B. Written down value Method
C. Discounted present value Method
D. Sum of digits Method

A. Unknown Liabilities
B. Known Liabilities
C. Creation of Secret Reserves
D. All the Three

A. Errors in cash book
B. Errors in pass book
C. Cheques deposited and cleared
D. Cheques issued but not presented for payment

A. Surplus cash
B. Bank Overdraft
C. Terms deposits with bank
D. None of these