In the books of M/s Anthony Enterprises, the opening balance of Machinery account on 1st April 2016 was Rs. 15,00,000 and the opening balance of Provision for Depreciation account was Rs. 3,50,000. A machinery was purchased on 1st October 2016 for Rs. 20,00,000, which was financed to the extent of 50 % by way of loan from a bank and the remaining amount was paid through cheque. One machinery which was purchased for Rs. 5,00,000 on 1st April 2015, on 1st June 2017 was completely destroyed by fire and scrap value realized by sale of the said machinery was Rs. 10,000. To replace that machinery, additional machine was purchased on the same date for Rs. 7,00,000. Company charges depreciation @ 15% p.a. on SLM basis and maintain Provision for Depreciation account. Accounts are closed every year on 31St March. Prepare Machinery account & Provision for depreciation account for the year 2016-17 and 2017-18
In the books of M/s Anthony Enterprises, the opening balance of Machinery account on 1st April 2016 was Rs. 15,00,000 and the opening balance of Provision for
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