Select the correct option related to valuation from the following statements.
1. The physical loss in the value of the property due to wear, tear, decay, etc., is called depreciation.
2. The loss in the value of the property due to change in design, fashion, structure, utility or demand is called obsolescence.
1
Both the statements are false.
2
Both the statements are true.
3
Statement 1 is true and 2 is false.
4
Statement 2 is true and 1 is false.