CAF-2 · Chapter 8 · Question 2 of 15
What is the prescribed normal depreciation rate for computer hardware, monitors, and allied items under the Third Schedule?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) D) 30%
Explanation
According to the Third Schedule, the normal rate of depreciation for computer hardware including printers, monitors, allied items, and aircraft is 30%.
More Income from Business - Part Two MCQs
- Q4XYZ Ltd purchased a luxury vehicle (a passenger transport vehicle not plying for hire) for its CEO for Rs. 10,000,000. What cost will be…
- Q5A manufacturing company purchased and installed a new machine for Rs. 1,000,000 during the tax year. Assuming the normal depreciation rate…
- Q6A motor vehicle costing Rs. 2,000,000 is used 60% for business and 40% for the personal use of a director. Normal depreciation is 15%…
- Q7A depreciable asset (machinery) previously used in Pakistan was exported to the USA. The original cost was Rs. 35 million and its WDV at…
- Q8Alpha Ltd acquired a secret formula (an intangible) to be used in its business. The useful life of this intangible cannot be ascertained…