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प्रश्न
Ragul purchased machinery on April 1, 2014 for ₹ 2,00,000. On 1st October 2015, a new machine costing ₹ 1,20,000 was purchased. On 30th September 2016, the machinery purchased on April 1, 2014 was sold for ₹ 1,20,000. Books of accounts are closed on 31st March and depreciation is to be provided at 10% p.a. on straight line method. Prepare machinery account and depreciation account for the years 2014-15 to 2016-17.
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उत्तर
Machinery Account
| Dr. | Cr. | ||||||
| Date | Particulars | J.F. | Amount ₹ | Date | Particulars | J.F. | Amount ₹ |
| 01.04.2014 | To Bank A/c | 2,00,000 | 31.03.2015 | By Depreciation A/c | 20,000 | ||
| 31.03.2008 | By Balance c/d | 1,80,000 | |||||
| 2,00,000 | 2,00,000 | ||||||
| 01.04.2015 | To Balance b/d | 1,80,000 | 31.03.2016 | By Depreciation A/c | 26,000 | ||
| 01.10.2015 | To Bank A/c | 1,20,000 | 31.03.2016 | By Balance c/d | 2,74,000 | ||
| 3,00,000 | 3,00,000 | ||||||
| 01.04.2016 | To balance b/d | 2,74,000 | 30.09.2016 | By Depreciation A/c | 10,000 | ||
| 30.09.2016 | By Bank A/c | 1,20,000 | |||||
| 30.09.2016 | By Profit or Loss A/c | 30,000 | |||||
| 03.03.2017 | By Depreciation A/c | 12,000 | |||||
| 03.03.2017 | By balance c/d | 1,02,000 | |||||
| 2,74,000 | 2,74,000 | ||||||
| 01.04.2017 | To balance b/d | 1,02,000 |
Depreciation Account
| Dr. | Cr. | ||||||
| Date | Particulars | J.F. | Amount ₹ | Date | Particulars | J.F. | Amount ₹ |
| 31.03.2015 | To Machinery A/c | 20,000 | 31.03.2015 | By Profit/Loss A/c | 20,000 | ||
| 20,000 | 20,000 | ||||||
| 31.03.2016 | To Machinery A/c | 26,000 | 31.03.2016 | By Profit/Loss A/c | 26,000 | ||
| 26,000 | 26,000 | ||||||
| 30.09.2016 | To Machinery A/c | 10,000 | 30.09.2016 | By Profit/Loss A/c | 10,000 | ||
| 31.03.2017 | To Machinery A/c | 12,000 | 31.03.2017 | By Profit/Loss A/c | 12,000 | ||
| 22,000 | 22,000 | ||||||
Notes-
| Date | Particulars | 1st Machinery ₹ | 2nd Machinery ₹ |
| 1.4.2014 | Cost Price 1 | 2,00,000 | |
| 31.3.2015 | (-) Depreciation 10% | 20,000 | |
| 1,80,000 | |||
| 1.10.2015 | Cost price 2 | 1,20,000 | |
| 31.3.2016 | (-) Depreciation | 20,000 | 6,000 |
| 1,60,000 | 1,14,000 | ||
| 30.10.2016 | (-) Depreciation 1 | 10,000 | |
| Book Value | 1,50,000 | ||
| 30.10.2016 | (-) Sale price | 1,20,000 | |
| Loss | 30,000 | ||
| 31.3.2017 | (-) Depreciation 2 | 12,000 | |
| Balance in Machinery A/c | 1,02,000 |
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संबंधित प्रश्न
Answer in One Sentence only:
What is Fixed Instalment Method?
Write the word/term/phrase which can substitute the following statement:
The type of asset on which depreciation is charged.
Complete the following sentence:
In Fixed Instalment System the amount of depreciation is ______ every year.
Complete the following sentence:
______ is the value which an asset realises at the end of its useful life.
Under straight-line method, the amount of depreciation is ______.
State the limitations of straight-line method of depreciation.
Machinery was purchased on 1st January 2015 for ₹ 4,00,000. ₹ 15,000 was spent on its erection and ₹ 10,000 on its freight charges. Depreciation is charged at 10% per annum on the straight-line method. The books are closed on 31st March each year. Calculate the amount of depreciation on machinery for the first two years.
Furniture costing ₹ 5,000 was purchased on 1.1.2016, the installation charges being ₹ 1,000. The furniture is to be depreciated @ 10% p.a. on the diminishing balance method. Pass journal entries for the first two years.
Correct the following statement and rewrite the statement.
Underwritten down value method depreciation is calculated on the original cost of an asset.
On 1st April 2015, Farid of Nasik purchased a Motor Car for ₹ 55,000. The scrap value of the Motor Car was estimated at ₹ 10,000 and its estimated life is 10 years. The Registration charge for the Motor Car was ₹ 5,000.
Show Motor Car Account for first four years, assuming that the books of accounts are closed on 31st March every year.
