On 1* April, 2018, a firm purchased a machinery for Rs 2,00,000. On 1st October in the sameaccounting year, the additional machinery costing Rs.October, 2019, the machinery purchased on 1* April, 2018, having become obsolete, was soldoff for Rs. 90,000. On 1* October 2020, new machinery was purchased for Rs 2,50,000 whilethe machinery purchased on 1st October, 2018 was sold for Rs 85,000 on the same day. Thefirm provides depreciation on its machinery @10 per cent per annum on original cost on 31*March every year.Required:Show Machinery account and depreciation account for the period of three accounting yearsending on 31st March, 2021.1,00,000 was purchased. On 1t

Fixed assets ledger accounts are being prepared to record and analyze all transactions related to…

On 1* April, 2018, a firm purchased a machinery for Rs 2,00,000. On 1* October in the same accounting year, the additional machinery costing Rs. October, 2019, the machinery purchased on 1* April, 2018, having become obsolete, was sold off for Rs. 90,000. On 1* October 2020, new machinery was purchased for Rs 2,50,000 while the machinery purchased on 1* October, 2018 was sold for Rs 85,000 on the same day. The firm provides depreciation on its machinery @10 per cent per annum on original cost on 31* March every year. Required: Show Machinery account and depreciation account for the period of three accounting years ending on 31* March, 2021. 1,00,000 was purchased. On 1*

On 1* April, 2018, a firm purchased a machinery for Rs 2,00,000. On 1* October in the same accounting year, the additional machinery costing Rs. October, 2019, the machinery purchased on 1* April, 2018, having become obsolete, was sold off for Rs. 90,000. On 1* October 2020, new machinery was purchased for Rs 2,50,000 while the machinery purchased on 1* October, 2018 was sold for Rs 85,000 on the same day. The firm provides depreciation on its machinery @10 per cent per annum on original cost on 31* March every year. Required: Show Machinery account and depreciation account for the period of three accounting years ending on 31* March, 2021. 1,00,000 was purchased. On 1*

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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