Question

On 1 October 1999, the Sahara transport purchased a truck for Rs.4,00,000. On
14 April 2001, this truck was involved in an accident and was completely destroyed
And Rs. 3, 00,000 were received from the Insurance company in full settlement.
On the same date another truck was purchased by the company for Rs. 5,00,000.
The company writes off 20% depreciation per annum on written down value method
And closes the books on 31st December every year. Give Truck account from 1999
to 2001.
​

Answer 1

Answer:

Rs.4,00,000. On

14 April 2001, this truck was involved in an accident and was completely destroyed

And Rs. 3, 00,000 were received from the Insurance company in full settlement.

On the same date another truck was purchased by the company for Rs. 5,00,000.

The company writes off 20% depreciation per annum on written down value method

And closes the books on 31st December every year. Give Truck account from 1999

to 2001.