Question

(5) Machine account shows balance of * 60,000 in the books of Mehta Limited on 1-4-12. This
machine was purchased five years back. Till today, total depreciation written off on this
machine was of 20,000. On 1-1-14 second machine was purchased for 12,000.
Second machine was not found suitable, and sold at 10 % loss of book value on 31-12-14.
Every year company provides depreciation at 5 % under straight line method.
From the above information prepare machine account and depreciation account in the
books of company upto 31-3-15.​

Answer 1

Answer:

% loss of book value on 31-12-14.

Every year company provides depreciation at 5 % under straight line method.

From the above information prepare machine account and depreciation account in the

books of company upto 31-3-15.