Q. On 1st January, 2009, Nagaji Bros., purchased six machineries for Rs 15,000 each. Depreciation @10%p.a. on original cost of machines has been provided and accumulated in 'Depreciation Provision Account' on 31st December every year.
On 1st January, 2010 one machine was sold for Rs 12,500 and on 1st January, 2011, a second machine was also sold for Rs 13,000.An improved model with a cost oH 28,000 was purchased on 1st July, 2010 and the arrangement for providing depreciation was kept to be the same as for older machines. Show Machinery a/c, Provision for Depreciation a/c and Machinery Disposal a/c.
Or
Record the following transactions in the Cash Book of Ghasidas :
2011Particulars(Rs)2011Particulars(Rs)Jan. 1Business commencedJan. 15Paid to B2,800With cash50,000Discount received200Jan. 2Deposited into Bank20,000Jan. 18Cash purchases4,000Cash purchases5,000Jan. 20Received from C in fullJan. 4Wages paid25Settlement of Rs 1,000950Jan. 6Cash Sales2,000Jan. 25Donation given10Purchased goods for cash10,000Jan. 26Got Promissory Note from C500Jan. 10Sold goods for cashJan. 27Promissory note of Cby Cheque4,000deposited into Bank andJan. 12Purchased goods & paidwithdrawn from BankBy Cheque3,000for official use500Received from 'A'590Discount allowed10