A company purchased a machine for ₹ 50,000 on 1st October, 2020. Another machine costing ₹ 10,000 was purchased on 1st December, 2021

A company purchased a machine for ₹ 50,000 on 1st October, 2020. Another machine costing ₹ 10,000 was purchased on 1st December, 2021. On 31st March, 2023, the machine purchased in 2019 was sold at a loss of ₹ 5,000. The company charged depreciation @ 15% p.a. on Diminishing Balance Method. Accounts are closed on 31st March every year. Prepare the Machinery Account for 3 years.

[Balance of Machinery A/c (31st March, 2023 (Mach. II) – ₹ 8,075.]

[Hint: Sale Price Realised – ₹ 28,415; Book Value of Machinery (31st March, 2023) = ₹ 33,415.]