Following balances appear in the Book of Paras Bros
Following balances appear in the Book of Paras Bros:
On 1st April, 2021, they decided to sell a machine for ₹ 8,700. This machine was purchased for ₹ 16,000 in April, 2017. Prepare the Provision for Depreciation Account and Machinery Account on 31st March, 2022, assuming the firm has been charging Depreciation at 10% p.a. on Straight Line Method.
[Loss on Sale of Machinery – ₹ 900; Balance of Provision for Depreciation A/c – ₹ 36000; Balance of Machinery A/c – ₹ 64,000.]
| 1st April 2021 | Machinery A/c Provision for Depreciation A/c | 80,000 36,000 |
Anurag Pathak Changed status to publish September 27, 2023
