Question

Provide 20% depreciation on furniture costing ` 10,000.​

Answer 1

Answer:

The furniture is depreciated by 20%

10,000×20/100=2,000

Furniture value =10,000-2,000=8,000

Answer 2

Answer:

depreciation a/c Dr. 2000

to furniture a/c. 2000

Explanation:

20% depreciation charged on furniture costing ₹10000.

depreciation is an expense so according to rule

all expenses are debited. so depreciation a/c will be debited

and furniture a/c is credited to record the fall in the value of furniture. (decrease in the value of furniture).