On 1st April 2024, person 'X' purchased a machinery costing ₹65000 and spent ₹10000 on its installation. The estimated effective life of the machinery is 5 years with a scrap value of ₹10000. The annual depreciation using the straight-line method with the accounting year ending on 31st March 2025 is:

₹13000

The correct answer is Option (3) → ₹13000

Cost of machinery $=65000$

Installation charges $=10000$

Total cost $=75000$

Scrap value $=10000$

Depreciable amount $=75000-10000=65000$

Effective life $=5$ years

Annual depreciation (SLM):

$\frac{65000}{5}=13000$

final answer: ₹13000