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Provision for depreciation on delivery van is charged to

Accounts - Principles of Accounts
JAMB 2025

Provision for depreciation on delivery van is charged to

  • A. manufacturing account
  • B. trading account
  • C. profit and loss account
  • D. appropriation account
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Correct Answer: Option C
Explanation

Provision for depreciation on a delivery van is charged to the Profit and Loss Account. Depreciation is the reduction in value of an asset due to wear and tear or obsolescence, and it is treated as an expense when calculating net profit or loss.


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