Home NCERT Solutions NCERT Exemplar CBSE Sample Papers NCERT Books Class 12 Class 10

Depreciation, Provisions and Reserves

At Saralstudy, we are providing you with the solution of Class 11th accountancy Depreciation, Provisions and Reserves according to the latest NCERT (CBSE) Book guidelines prepared by expert teachers. Here we are trying to give you a detailed answer to the questions of the entire topic of this chapter so that you can get more marks in your examinations by preparing the answers based on this lesson. We are trying our best to give you detailed answers to all the questions of all the topics of Class 11th accountancy Depreciation, Provisions and Reserves so that you can prepare for the exam according to your own pace and your speed.

Depreciation means a fall in the value of an asset because of its usage with the efflux of time, due to its obsolescence or accident. Factor affecting the amount of depreciation, scrap value, useful life legal provision etc.

Methods :

  • Straight Line Method: In this method percentage of original cost of asset is written off every year. This method is also called the Equal installment method or original cost method.
  • Diminishing Balance Methods: Depreciation is charged at a fixed rate on the reducing balance every year.
  • Reserve : Reserve is the amount set aside out of the profit.
  • Provision: Provision is an amount provided for a known liability the amount cannot be determined with accuracy.

Download pdf of NCERT Solutions for Class accountancy Chapter 7 Depreciation, Provisions and Reserves

Exercise 1

Popular Questions of Class 11th accountancy

Recently Viewed Questions of Class 11th accountancy