Question

From the following transactions of a concern, prepare the Machinery Account for the year
ended 31st March, 2018:
1st April, 2017: Purchased a second-hand machinery for 540,000
1st April, 2017: Spent = 10,000 on repairs for making it serviceable.
30th September, 2017: Purchased additional new machinery for 320,000.
31st December, 2017: Repairs and renewals of machinery 73,000.
31st March, 2018: Depreciate the machinery at 10% p.a.​

Answer 1

Answer:

Purchased a second- hand machinery for ₹ 40,000. 1st April, 2017, : Spent ₹ 10,000 on repairs for making it serviceable.