Addition to Assets and Life Given in Years
9. On 1st April, 2016, Shakir Naeem purchased certain
furniture items costing 85.000. It
estimated that its working life is 10 years, at the end of which it will fetch 5.000. Addition
are made on 1st April, 2017, and 1st October, 2019, to the value of 7 19.800 and 124
(Residual values * 1.800 and 2,400 respectively).
Show the furniture account for first four years, if depreciation is provided according
straight line method and books are closed on 31st March. The life of new furniture is also
years.
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