Question

Answer the following question in brief :
(1) One machine was purchased on 1-4-08. On 1-4-14 the opening balance of machine
account is 28,000. Depreciation on machine is charged at 10 % under straight line
method. Write journal entry for depreciation on 31-3-15.
​

Answer 1

Answer:

Rs. 2,800

Explanation:

Annual Depreciation = Machine cost X Rate of Depreciation

= 28000 X 10/100

= Rs. 2,800

Journal Entry

Depreciation A/c Dr. 2,800

To Machinery A/c 2,800