Question

Q.2- Sunil Traders purchase a machinery costing 6,00,000 on 1st April 2012 . It
purchase another machinery costing 4,10,000 on 1st October 2013 and spent 40,000
on its installation. On 1st july 2014 1/3rd part of the machinery which was purchased
on 1st April 2012 is become obsolete and was sold for 75,000 and same day the
company purchases the new machine for Rs. 1,20,000. The company is charging
depreciation at 15% p.a on Diminishing Balance Method and follows financial year
as their accounting year. Draw up the machinery a/c for three years.​

Answer 1

Answer:

705962

Explanation:

bal c/d of 1st machinery (2/3 part) 245650

2nd machinery 353812

3rd machinery 106500