Question

On 1-1-91, a trader purchases a three year lease of premises for Rs. 30,000 and it is decided to make provision for replacement by means of a depreciation fund. The expected rate of interest on the investments is 5% p.a. The sinking fund table shows that Re. 0.317208 at 5% will in 3 years accumulates Re. 1. Open Depreciation Fund A/c, Depreciation Fund Investment A/c and Lease A/c.​

Answer 1

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Answer 2

Answer:

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Explanation:

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