Zed Ltd. a domestic company engaged in manufacturing activity at Mumbai acquired a plant for ₹5 lakh on 7th January, 2019 which is eligible for depreciation @ 15%. It paid ₹4 lakh through ECS system from bank and balance

CS Executive · Tax Laws and Practice · PYQS · June 2019
Zed Ltd. a domestic company engaged in manufacturing activity at Mumbai acquired a plant for ₹5 lakh on 7th January, 2019 which is eligible for depreciation @ 15%. It paid ₹4 lakh through ECS system from bank and balance ₹1 lakh in cash on 23rd February, 2019. The plant was put to use on 12-03-2019. The amount of depreciation (normal and additional) on this plant for A.Y. 2019-20 shall be :
(A) ₹40,000
(B) ₹30,000
(C) ₹70,000
(D) ₹60,000

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Income Tax Act, 1961

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic