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प्रश्न
A Noida based Construction Company owns 5 cranes and the value of this asset in its books on April 01, 2017 is ₹ 40,00,000. On October 01, 2017 it sold one of its cranes whose value was ₹ 5,00,000 on April 01, 2017 at a 10% profit. On the same day it purchased 2 cranes for ₹ 4,50,000 each. Prepare cranes account. It closes the books on December 31, and provides for depreciation on 10% written down value.
उत्तर
| Dr. | Cranes Account | Cr. | |||||
| Date | Particulars | J.F. | Amount ₹ |
Date | Particulars | J.F. | Amount ₹ |
| 2017 | 2017 | ||||||
| Apr.01 | Machinery (35,00,000 + 5,00,000) |
40,00,000 | Oct.01 | Depreciation | 25,000 | ||
| Oct.01 | Profit and Loss (Profit) |
47,500 | Oct.01 | Bank | 5,22,500 | ||
| Oct.01 | Bank | 9,00,000 | Dec.31 | Depreciation 35,00,000 × 10/100 × 9/12 = 2,62,500 |
|||
| 9,00,000 × 10/100 × 6/12 = 22,500 | 2,85,000 | ||||||
| Dec.3 | Balance c/d 32,37,500 + 8,77,500 |
41,15,000 | |||||
| 49,47,500 | 49,47,500 | ||||||
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संबंधित प्रश्न
What are the effects of depreciation on profit and loss account and balance sheet?
Describe in detail two methods of recording depreciation. Also give the necessary journal entries
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Show the machinery account and provision for depreciation account for 3 years.
An extract of Trial balance from the books of Tahiliani and Sons Enterprises on Mar 31 2017 is given below:
| Name of the Account | Debit Amount ₹ |
Credit Amount ₹ |
| Sundry debtors | 50,000 | |
| Bad debts | 6,000 | |
| Provision for doubtful debts | 4,000 |
Additional Information:
- Bad Debts proved bad but not recorded amounted to ₹ 2,000.
- Provision is to be maintained at 8% of Debtors.
Give necessary accounting entries for writing off the bad debts and creating the provision for doubtful debts account. Also show the necessary accounts.
The following information are extract from the Trial Balance of M/s Nisha traders on 31 March 2017.
| Sundry Debtors | ₹ 80,500 |
| Bad debts | ₹ 1,000 |
| Provision for bad debts | ₹ 5,000 |
| Additional Information | |
| Bad Debts | ₹ 500 |
Provision is to be maintained at 2% of Debtors.
Prepare bad debts account, Provision for bad debts account and profit and loss account.
