A machine has a scrap value of Rs 22500 after 15 years of its purchase. If the annual depreciation charge is Rs 8500, find its original cost using linear method.
Answer & explanation
Correct answer: option 2
The correct answer is option (2) : ₹150000
$8500=\frac{O.V-22500}{15}$
$O.V-22500=1275500$
$O.V=₹150000$