Chapter – 7 DEPRECIATION, PROVISIONS AND RESERVES
[file content begins] Chapter 7: Depreciation, Provisions and Reserves Chapter 7: Depreciation, Provisions and Reserves – Important Topics: Meaning and Definition of Depreciation (AS-6) Depreciation vs Depletion vs Amortisation Causes and Need for Depreciation Factors Affecting Depreciation (Cost, Residual Value, Useful Life) Methods of Depreciation: Straight Line Method (SLM) and Written Down Value Method (WDV) Comparison of SLM and WDV Methods of Recording Depreciation: Charging to Asset A/c vs Provision for Depreciation A/c Disposal of Asset and Asset Disposal Account Effect of Additions/Extensions to Asset Provisions – Meaning, Examples, Accounting Treatment Reserves – Meaning, Examples, Types (General, Specific, Revenue, Capital) Difference between Provision and Reserve Di...