Az Is IT has developed some software internally and it has chosen to capitalise all expenditure on the software during the development phase and then will depreciate the software when the software becomes fully operational. Which of the following statements about the claim for decline in value of this software are correct?
A) Use a software development pool and claim the decline in value at the rate of 20%
B) When the software becomes fully operational Az Is IT can depreciate the software at a flat 10 per cent prime cost depreciation rate
C) When the software becomes fully operational Az Is IT can depreciate the software at a flat 30 per cent prime cost depreciation rate
D) When the software becomes fully operational Az Is IT can depreciate the software at a flat 20 per cent prime cost depreciation rate
Correct Answer:
Verified
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