CAAC152 Financial Accounting

Financial AccountingTU Board 2024

ABC company purchased first machine on 1st January, 2015 for Rs.10,000. On 1st July in the same year another machine was purchased costing Rs.5,000. The first machine purchased on 1st January 2015…

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ABC company purchased first machine on 1st January, 2015 for Rs.10,000. On 1st July in the same year another machine was purchased costing Rs.5,000. The first machine purchased on 1st January 2015 having become obsolete, was sold off for Rs.4,000 on 1st July 2016. On the 1st July 2017, a new machine was purchased for Rs.12000 and the second machine purchased on 1st July 2015 was sold at Rs.4,200 on the same date. Depreciation is to be provided at 10% per annum on straight line method every year. Required: Machinery account for the first three year.

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