2217. The depreciation during the year ‘n’, in diminishing balance method of depreciation calculation, is calculated by multiplying a fixed percentage ‘N’ to the

initial cost.
book value at the end of (n – 1)th year,
depreciation during the (n – 1)th year.
difference between initial cost and salvage value.
✅ The correct answer is option B.

2219. Depreciation

costs (on annual basis) are constant when the straight line method is used for its determination.
is the unavoidable loss in the value of the plant, equipment and materials with lapse in time.
does figure in the calculation of income tax liability on cash flows from an investment.
all (a), (b) and (c).
✅ The correct answer is option D.