Question

Question 4
[12)
From the following information provided by Rex Co. Ltd. you are required to prepare its
Plant and Machinery Account for the years 2017-2018 and 2018-19.
The company charges depreciation @ 10% per annum on the Straight Line Method.
It close its books of accounts on 31" March, every year.
Date Particulars
1/4/17 Balunce standing in the Plant & Machinery Account 1.00,000
(Cost price of the plant in use was 3,00,000)
1/4/17 Cost price of machine purchased
10,000
1/4/17 One machine which had cost 3,300. in the year 2004 and
so was not in use, was sold as scrap for 200
Cost price of machine purchased
6,000
1/4/18 One machine which had cost 4.000, on lApril, 2014,
was sold for 2.700
| V10/18 Cost price of machine purchased
8.000​

Answer 1

Answer:

Explanation:Depreciation is charged as per the SLM basis

Answer 2

This is solution to question asked in Annual Exam (2019-20) of Class XI.