PLEASE CHECK THE ANSWER
Dear Student,
Please provide a clear picture of the question. Basis the understanding the solution is as follows:
| Machinery Account | |||||||
| Dr. | Cr. | ||||||
| Date | Particulars | Amount (Rs) |
Date | Particulars | Amount (Rs) |
||
| 2010 | 2010 | ||||||
| Jan 01 | To Bank A/c (M1 : 50,000+5,000) | 55,000 | Dec. 31 | By Depreciation A/c | 5.500 | ||
| Dec. 31 | By Balance c/d | 49,500 | |||||
| 55,500 | 55,500 | ||||||
| 2011 | 2011 | ||||||
| Jan. 01 | To Balance b/d | 49,500 | Dec. 31 | By Depreciation A/c | 5,500 | ||
| Dec. 31 | By Balance c/d | 44,000 | |||||
| 49,500 | 49,500 | ||||||
| 2012 | 2012 | ||||||
| Jan. 01 | To Balance b/d | 44,000 | Dec 31 | By Depreciation A/c (5500+2000) | 7,500 | ||
| Jan. 01 | To Bank A/c (M2 - Purchase of new machine) | 20,000 | Dec 31 | By Balance c/d |
|||
| M1 | 38,500 | ||||||
| M2 | 18,000 | 56,500 | |||||
| 64,000 | 64,000 | ||||||
Working Notes :
(1) Depreciation on M1 =
(2) Depreciation on M2 =
Regards,