Fixed Assets (Net):
31^st December,1994 = Rs. 1,50,000
31^st December, 1995 = Rs. 1,90,000
Provision for depreciation:
A machine costing Rs. 70,000 (book value Rs. 40,000) was disposed for Rs. 25,000 during the year 1995
The application of funds in respect of fixed assets during the year is:

A. Rs. 1,10,000

B. Rs. 1,80,008

C. Rs. 2,05,000

D. Rs. 2,20,000

Answer: Option A