Home
Class 11
ACCOUNTS
{:("Following balances appear in the boo...

`{:("Following balances appear in the books of Rama Bros ",₹),("1st April, 2016 " "Machinery A/c","80,000"),(" Provision for Depreciation A/c","36,000"):}`
On 1st April, 2016, they decided to sell a machine for Rs 8,700. This machine was purchased for RS 16,000 in April, 2012. Prepare the Provision for Depreciation Account and Machinery Account on 31st March, 2017, assuming the firm has been charging Depreciation at 10% p.a. on Straight Line Method.

Text Solution

Verified by Experts

The correct Answer is:
[Loss on Sale of Machinery-Rs 900; Balance of Provision for Depreciation A/c-Rs 36,000; Balance of Machinery A/c-Rs 64,000.]
Promotional Banner

Topper's Solved these Questions

  • DEPRECIATION

    TS GREWAL|Exercise EVALUATION QUESTIONS: QUESTIONS WITH MISSING VALUES|3 Videos

  • DEPRECIATION

    TS GREWAL|Exercise Short Answer Type Questions|3 Videos

  • COMPUTERS IN ACCOUNTING

    TS GREWAL|Exercise Multiple choice Questions (MCQs)|3 Videos

  • FINANCIAL STATEMENTS OF SOLE PROPRIETORSHIP

    TS GREWAL|Exercise Illustration|50 Videos

Similar Questions

Explore conceptually related problems

{:("Following balances appear in the books of Pyriyank Brothers: ",₹),("1st April, 2017 " "Machinery A/c","20,00,000"),(" Provision for Depreciation A/c","8,00,000"):} On 1st April, 2017, they decide to sell a machine for Rs 5,00,000. This machine was purchased for Rs 7,50,000 on 1st April, 2014. Prepare the Machinery Account and Provision for Depreciation Account for the year ended 31st March, 2018 assuming that the firm has been charging Depreciation "@ "10% p.a. on the Straight Line Method.

Following balances appear in the books of Goyal Brothers: On 1st April, 2018, they decided to sell a machine for Rs 2,00,000 which was purchased on 1st April, 2015 for Rs 3,00,000. Prepare Machinery Account and Provision for Depreciation Account for the year ended 31st March, 2019 assuming that the firm has been charging depreciation "@ "10% p.a. on the Straight Line Method.

Following balances appear in the books of M/s Amrit as on 1st April, 2018: {:("2018 ",₹),("1st April ""Machinery A/c ","60,000"),(" Provision for Depreciation A/c ", "36,000"):} On 1st April, 2018, they decided to dispose off a machinery for Rs 8,400 which was purchased on 1st April, 2014 for Rs 16,000. You are required to prepare the Machinery Account, Provision for Depreciation Account and Machinery Disposal Account for the year ended 31st March, 2019. Depreciation was charged at 10% p.a. on Cost following Straight Line Method.

Following balances appear in the books of Dinesh, as on 1st April, 2018: {:("Machinery Account", " Rs 8,00,000,"):} {:("Provision for Depreciation Account", " Rs 3,10,000."):} On 1st July, 2018, a machinery which was purchased on 1st April, 2015 for Rs 1,20,000 was sold for Rs 50,000 plus CGST and SGST "@ " 6% each and on the same date another machinery was purchased for Rs 32,000 plus CGST and SGST "@ "6% each. The firm charges depreciation "@ " 15% p.a. On Original Cost Method and closes its books on 31st March every year. Prepare Machinery Account and Provision for Depreciation Account for the year 2018-19. Also, pass Journal entry for the sale of machinery.

A company purchased machinery for Rs 2,00,000 on 1st April, 2016. The machinery is depreciated " @ "10% p.a. of cost. On 1st October, 2018, the machinery was sold for Rs 1,20,000. Draw the Machinery Account for the years ended 31st March 2017, 2018 and 2019.

You are given following balances as on 1st April, 2005: {:("Machinery A/C" , " Rs 5,00,000"),("Provision for Depreciation A/C " , " Rs 1,16,000"):} Depreciation is charged on machinery at 20% p.a. by the Diminishing Balance Method. A piece of machinery purchased on 1st April, 2003 for Rs 1,00,000 was sold on 1st October, 2005 for Rs 60,000. Prepare the Machinery Account and Provision for Depreciation Account for the year ended 31st March, 2006. Also, prepare the Machinery Disposal Account.

{:("Following balances appear in the books of X Ltd. as on 1st April, 2018: ",₹),( "Machinery A/c","5,00,000"),("Provision for Depreciation A/c","2,25,000"):} The machinery is depreciated "@ "10% p.a. on the Fixed Instalment Method. The accounting year being April-March. On 1st October, 2018, a machinery which was purchased on 1st July, 2015 for Rs 1,00,000 was sold for Rs 42,000 plus CGST and SGST "@ "6% each and on the same date a new machine was purchased for Rs 2,00,000 paying IGST "@ "12% . Prepare Machinery Account and Provision for Depreciation Account for the year ended 31st March, 2019.

Sharma & Co. whose books are closed on 31st March, purchased a machinery for Rs 1,50,000 on 1st April, 2016, Additional machinery was acquired for Rs 50,000 on 1st October, 2016 was sold for Rs 40,000 on 30th September, 2018. Prepare the Machinery Account and Accumulated Depreciation Account for all the years up to the year ended 31st March, 2019. Depreciation is charged "@ "10% p.a. on Straight Line Method. Also, show the Machinery Disposal Account.

The following balances appear in the books of Crystal Ltd, on Jan 01, 2015 {:(,Rs.),("Machinery account on " , "15,00,000"),("Provision for depreciation account ","5,500"):} On April 01, 2015 a machinery which was purchased on January 01, 2012 for Rs . 2,00,000 was sold for Rs . 75,000. A new machine was purchased on July 01, 2015 for Rs . 6,00,000, Depreciation is provided on machinery at 20% p.a. on Straight line method and books are closed on December 31 every year. Prepare the machinery account and provision for depreciation account for the year ending December 31, 2015.

On 1st April, 2015, A Ltd. Purchased a machine for Rs 2,40,000 and spent Rs 10,000 on its erection. On 1st October, 2015, an additional machinery costing Rs 1,00,000 was purchased. On 1st October, 2017, the machine purchased on 1st April, 2015was sold for Rs 1,43,000 and on the same date, a new machine was purchased at a cost of Rs 2,00,000. Show the Machinery Account for the first four financial years after charging Depreciation at 5% p.a. by the Straight Line Method.

TS GREWAL-DEPRECIATION-Straight Line Method
  1. On 1st July, 2015, A Co. Ltd. Purchases second-hand machinery for Rs 2...

    Text Solution

    |

  2. On 1st April, 2016, Shivam Enterprise purchased a second-hand machiner...

    Text Solution

    |

  3. Modern Ltd. Purchased a machinery on 1st August, 2016 for Rs 60,000. O...

    Text Solution

    |

  4. On 1st July, 2016, Sohan Lal & Sons purchased a plant costing Rs 60,00...

    Text Solution

    |

  5. {:("Following balances appear in the books of Rama Bros ...

    Text Solution

    |

  6. {:("Following balances appear in the books of Pyriyank Brothers: ...

    Text Solution

    |

  7. {:("Following balances appear in the books of X Ltd. as on 1st April, ...

    Text Solution

    |

  8. A boiler was purchased from abroad for Rs 10,000. Shipping and forward...

    Text Solution

    |

  9. The original cost of furniture amounted to Rs 4,000 and it is decided ...

    Text Solution

    |

  10. Babu purchased on 1st April, 2017, a machine for Rs 6,000. On 1st Octo...

    Text Solution

    |

  11. X bought a machine for Rs 25,000 on which he spent Rs 5,000 for carri...

    Text Solution

    |

  12. A company purchased a machinery for Rs 50,000 on 1st October, 2016. An...

    Text Solution

    |

  13. On 1st April, 2016, a machinery was purchased for Rs 20,000. On 1st Oc...

    Text Solution

    |

  14. M/s. P & Q purchased machinery for Rs 40,000 on 1st October, 2016. Dep...

    Text Solution

    |

  15. On 1st October, 2015, Meenal Sharma bought a machine for Rs 25,000 on ...

    Text Solution

    |

  16. A company purchased on 1st July, 2015 machinery costing Rs 30,000. It ...

    Text Solution

    |

  17. Astha Engineering Works purchased a machine on 1st July, 2015 for Rs 1...

    Text Solution

    |

  18. Following balances appear in the books of M/s Amrit as on 1st April, 2...

    Text Solution

    |

  19. On 1st October, 2011, X Ltd. Purchased a machinery for Rs 2,50,000. A ...

    Text Solution

    |

  20. Sharma & Co. whose books are closed on 31st March, purchased a machine...

    Text Solution

    |