Doubt for particular questionAshwin purchased a second hand machine for 1 lakhs. Over the first year after its purchase, he incurred an expense of Rs. 20000/- in maintaining it. At the end of the first year he sold it for Rs. 80000/-. Find his profit/loss percentage, if 25% of the total cost price (i.e. purchased price + expenses) is to be deducted on account of depreciation. ?
can anyone provide explanation for the above question ?