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A firm acquired a machine on 1st April 2015 at a cost of ₹ 50,000. Its life is 6 years. The firm writes off depreciation @ 30% p.a. on the diminishing balance method. - Accountancy

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प्रश्न

A firm acquired a machine on 1st April 2015 at a cost of ₹ 50,000. Its life is 6 years. The firm writes off depreciation @ 30% p.a. on the diminishing balance method. The firm closes its books on 31st December every year. Show the machinery account and depreciation account for three years starting from 1st April 2015.

योग
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उत्तर

Date Particulars
01.04.2015 Machinery purchased 50,000
31.12.2015 Less: Depreciation @ 30% 11,250
01.01.2016 Book value 38,750
31.12.2016 Less: Depreciation @ 30% 11,625
01.01.2017 Book value 27.125
31.12.2017 Less: Depreciation @ 30% 8,138
01.01.2018 Book value 18,987

Machinery A/c

Dr.   Cr.
Date Particulars L.F. Date Particulars L.F.
01.04.15 To Bank A/c   50,000 31.12.15 By Depreciation A/c   11,250
        31.12.15 By Balance c/d   38,750
      50,000       50,000
01.01.16 To Balance b/d   38,750 31.12.16 By Depreciation A/c   11,625
        31.12.16 By Balance c/d   27,125
      38,750       38,750
01.01.17 To Balance b/d   27,125 31.12.17 By Depreciation A/c   8,138
        31.12.17 By Balance c/d   18,987
      27,125       27,125
01.01.18 To Balance b/d   18,987        

Depreciation A/c

Dr.   Cr.
Date Particulars L.F. Date Particulars L.F.
31.12.15 To Machinery A/c   11,250 31.12.15 By P & L A/c   11,250
      11,250       11,250
31.12.16 To Machinery A/c   11,625 31.12.16 By P & L A/c   11,625
      11,625       11,625
31.12.17 To Machinery A/c   8,138 31.12.17 By P & L A/c   8,138
      8,138       8,138
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अध्याय 10: Depreciation Accounting - Exercises [पृष्ठ २२६]

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सामाचीर कलवी Accountancy [English] Class 11 TN Board
अध्याय 10 Depreciation Accounting
Exercises | Q IV 14. | पृष्ठ २२६

संबंधित प्रश्न

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By charging depreciation on fixed assets ascertainment of true and fair financial position is possible.


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M/s Omkar Enterprise Jalgaon acquired a Printing Machine for ₹ 75,000 on 1 Oct 2015 and spent ₹ 5,000 on its transport and installation. Another Machine for ₹ 45,000 was purchased on 1st Jan 2017. Depreciation is charged at the rate of 20% on the Written Down Value Method, on 31st March every year.

Prepare Printing Machine Account for the first four years.


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