Question

On 1st January,2005 Z Ltd. purchased machinery for Rs. 1,20,000 and on 30th June,2006,

it acquired additional machinery for Rs. 20,000. On 31.03.2007, an new machine was purchased

for Rs. 8,000. On 31.08.2007, one of the original machine (purchased on 01.01. 2005) which had

cost Rs. 5,000 was found to have become obsolete and was sold to scrap for Rs. 500.

Depreciation is to be charged @ 10% p.a. on written down value. Accounts are closed on 31st

December each year. Show machinery account for first three years.​

Answer 1

Answer:

500 it is answer of this question