Question

A trucking company purchases a delivery truck for ₹12,00,000. It expects the truck to deliver 3,00,000 km over its life and have a salvage value of ₹1,20,000. In its first year, the truck travels 60,000 km. Compute the depreciation expense for the first year using the Units of Production method.

A ₹2,17,000
B ₹2,40,000
C ₹2,16,000
D ₹1,80,000
E ₹2,64,000
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