Harry maintains his fixed assets at cost. Provision for Depreciation Account is Kept separately for each asset. On 31st December 2013, position was as under : Cost Depreciation Plant and Machinery $1,50,710 $ 62,350 Furniture and Fixtures 26,450 11,500 He purchased a machine for $ 10,000 on 1st April, 2014 and furniture for $ 3,000 on 1st June, 2014. A machine costing $ 6,000 purchased on January 1, 2012 was sold for $ 5,500 on 30th June, 2014. Depreciation is provided @ 10% on written-down-value method. Show the relevant accounts for the year ended 31st December, 2014.

Harry maintains his fixed assets at cost. Provision for Depreciation Account is Kept separately for each asset. On 31st December 2013, position was as under : Cost Depreciation Plant and Machinery $1,50,710 $ 62,350 Furniture and Fixtures 26,450 11,500 He purchased a machine for $ 10,000 on 1st April, 2014 and furniture for $ 3,000 on 1st June, 2014. A machine costing $ 6,000 purchased on January 1, 2012 was sold for $ 5,500 on 30th June, 2014. Depreciation is provided @ 10% on written-down-value method. Show the relevant accounts for the year ended 31st December, 2014.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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