Q.4 M/s Express Cargo purchased a Delivery Truck on January 1, 2020. (10 Marks)

Cost:Rs. 11,000,000

Expected Salvage ValueRs. 1,000,000

Estimated useful life5 years

Estimated useful life in Miles500,000 Mils

Year wise usage in Milei) 80,000 ii) 100,000 iii) 110,000 iv) 120,000 v) 90,000

Compute depreciation using the following methods for 5 yearsand prepare the schedules thereof.

(a) Straight-Line.

(b) Declining Balance

(c) Units-of-Activity.

Also discuss the best utility of above mention each methods separately keeping in view the types and nature of business.