Accountancy, asked by deepyoti, 10 months ago

IN A TRAIL BALANCE GIVEN
PLANAT AND MACHINERY
1-1-2018 @20000
AND
1-7-2018 @5000

NOW , WHAT AND WERE WE SHOULD WRITE IN FINANCIAL ACCOUNT ?

WHAT WILL BE ENTRIES FOR THIS IN FINANCIAL ACCOUNT?​

Answers

Answered by rjv95
0

Answer:

Sale transaction.

Explanation:

After providing depreciation

  • its book value is rs.20,000. on 1/1/2018
  • on 1/7/2018 its book value is rs.5000.

There must be a sale of plant and machinery..

journal entry

cash or bank a/c Dr. 15000

to plant and machine a/c 15000

Effects

  • increase cash balance by rs.15000
  • decrease plant& machine a/c by rs.15000.
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