Question

Company X purchased machinery for ₹10 lakh, salvage ₹1 lakh, useful life 5 years. If using reducing-balance method at 40% p.a., what is depreciation expense in year 2?

A ₹1.44 lakh
B ₹2.16 lakh
C ₹2.40 lakh
D ₹3.84 lakh
E ₹4.00 lakh
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