Question

A machine costing ₹4,00,000 has a useful life of 5 years with scrap value ₹25,000. The company provides depreciation on WDV at 25% p.a. After 3 years, the machine is sold for ₹1,80,000. What is the profit or loss on sale?

A Loss ₹1,20,000
B Profit ₹15,000
C Loss ₹95,000
D Profit ₹11,250
E Loss ₹80,000
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