As 26 query

lucky (article) (65 Points)

03 March 2015  
On January 1, 2010, NDA purchased equipment for use in developing a new product. NDA uses the Straightline Depreciation Method. The equipment could provide benefits over a 10 year period. However, the new product development is expected to take 5 years, and the equipment can be used only for this project. How much cost of the equipment should be charged to profit anid loss account for 2010 (a) The total cost of equipment. (b) One-fifth of the cost of equipment (c) One-tenth of the cost of equipment(d)- zero answer given in book is (a) plz can someone explain in details ..