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A company purchased a machine for backup plan, do not used it in the year,is there is need to provide depreciation?

Auditing

If yes,why?

K.V. Karthik

CA Inter

★ 34K+

05-May-20 21:29

398

Answers (1)

Is it ready for use? If it is ready then depreciation has to be charged. The fact that it was not used is irrelevant as depreciation is provided for reduction in value due to usage / elapse of time etc,

Sriram Somayajula

Admin

06-May-20 09:21

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