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John Moffat.
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mansoor
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Hi.
there are 2 rules of depreciation:
1. deduct entire year dep in the first year and none on year of disposal
2. compute dep on a prorata method.My question is that if a question DOES NOT SPECIFY any of these, which is to be assumed?
thanks
John Moffat
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Most likely is that the question will specify (so if it seems not, then do check again in case you missed it 🙂 )
If it does not specify, then assume always that it is pro-rata.
mansoor
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cool…. i was doing a problem in kaplan text where it was not specified. and u are right.. they had done pro rata.
THANK U!!!!
John Moffat
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You are welcome 🙂
mansoor
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