Depreciation on used vehicles as per companies act 2013

Dear,

As per Co Act, 2013 Vehicle has a usefull life of 10 years,If Vehicle was purchased more than 10 years ago W/off WDV value leaving 5% of WDV as on 31.3.2014 as residual value otherwise WDV need to be w/off in balance life leaving 5% of WDV as on 31.03.2014 as residual value.

eg:

1) WDV 100

Purchase date 12.6.2000

W/off to P/L 95

Residual Value on FA 5

2) WDV 100

Purchase date 01.04.2010

Residual Value 5

Dep on 95 for balance life