Page 124 - ISCDEBK-XI

Depreciation 15.9

Solution:

Dr. MACHINERY ACCOUNT Cr.
Date Particulars ` Date Particulars `

2019 2019
April 1 To Balance b/d 94,000 Dec. 31 By Provision for Depreciation A/c 9,722
July 31 To Bank A/c 56,000 Dec. 31 By Bank A/c (Sale Proceeds) 23,600
To Cash A/c 12,000 Dec. 31 By Loss on Sale of Machine A/c (WN 1) 11,678
(Freight and Installation) (Profit & Loss A/c)
2020
March 31 By Balance c/d 1,17,000

1,62,000 1,62,000

Dr. DEPRECIATION ACCOUNT Cr.

Date Particulars ` Date Particulars `
2019 2020
Dec. 31 To Provision for Depreciation A/c 2,860 March 31 By Profit & Loss A/c 9,239
2020 —transferred
March 31 To Provision for Depreciation A/c 6,379
9,239 9,239

Dr. PROVISION FOR DEPRECIATION ACCOUNT Cr.
Date Particulars ` Date Particulars `

2019 2019
Dec. 31 To Machinery A/c (WN 3) 9,722 April 1 By Balance b/d 37,400
Dec. 31 By Depreciation A/c 2,860
2020 2020
March 31 To Balance c/d 36,917 March 31 By Depreciation A/c (WN 2) 6,379
46,639 46,639

BALANCE SHEET
as at 31st March, 2020
Liabilities ` Assets `
Machinery 1,17,000
Less: Provision for Depreciation 36,917 80,083