Question

FOLLOWING BALANCES APPEAR IN THE BOOKS OF ACCOUNTS OF BAJAJ ENTERPRISES AS ON 1st OF APRIL,2011 :
MACHINERY A/C ₹5,00,000
PROVISION FOR DEPRECIATION A/C ₹2,25,000
THE MACHINERY WAS DEPRECIATED AT 10% ON STRAIGHT LINE METHOD.
ON 1st OF OCTOBER, 2011, A MACHINERY WHICH WAS PURCHASED ON 1st OF JULY, 2008 FOR ₹1,00,000 WAS SOLD FOR ₹42,000 . ON THE SAME DATE FRESH MACHINERY WAS INSTALLED FOR RS. 2,00,000. CALCULATE BALANCE IN PROVISION FOR DEPRECIATION A/C AS ON 31st OF MARCH, 2012.

a) RS. 2,27,500
b) RS. 2,37,500
c) RS. 2,47,500
d) RS. 2,57,500

Answer 1

Explanation:

3 rd answer.......is correct

Answer 2

Answer:

Option C) Rs. 2,47,500