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What is the depreciated value after n years using declining balance method?

a) D = P(1-r)n
b) D = P(1/r)n
c) D = P(1*r)n
d) D = P(1+r)n

Answer: a
Explanation: In this method, a uniform rate is used for each year to the remaining values, including salvage value of the machine. Depreciation amount is different for each year, during machine life.

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