Economics of Power Generation
In the diminishing value method for calculating depreciation, the annual depreciation charge is independent of

Initial value of equipment
Scrap value
The rate of interest
Useful life of equipment

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Economics of Power Generation
Annual depreciation as per straight line method, is calculated by

None of these
the capital cost minus the salvage value, is divided by the number of years of life
increasing a uniform sum of money per annum at stipulated rate of interest
the capital cost divided by number of year of life

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