Question

13. On 1st July, 2016, Sohan Lal & Sons purchased a plant costing 60,000. Additional plant was
purchased on 1st January, 2017 for 40,000 and on 1st October, 2017, for 20,000, plus CGST
and SGST @ 6% each. On 1st April, 2018, one-third of the plant purchased on 1st July, 2016, was
found to have become obsolete and was sold for 6,000, charging CGST and SGST @ 6% each.
Prepare the Plant Account for the first three years in the books of Sohan Lal & Sons. Depreciation
is charged @ 10% p.a. on Straight Line Method. Accounts are closed on 31st March each year.​

Answer 1

Explanation:

easy method for the given question