Moderate

Depreciation charges are high in case of__________?

Correct answer: A. thermal plant

  • A. thermal plant
  • B. diesel plant
  • C. hydroelectric plant
  • D. none of these

Explanation

Thermal plants generally have high depreciation charges because their equipment operates at high temperatures and pressures and their useful life is comparatively shorter. Hydroelectric plants usually have longer service lives, despite their high initial cost.

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