Question

A company purchases machinery for ₹10 lakh. Estimated dismantling cost after 5 years is ₹1 lakh. The dismantling obligation is present as per contract. What should be the cost of asset as per Ind AS 16?

A ₹10 lakh
B ₹9 lakh
C ₹11 lakh
D ₹10.5 lakh
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