0438 Assignment no 1 Solution 2022-Autumn 2022-Q 4 Ans-AIOU-Principles of accounting
Q. 4
On 1st July 2015, Zahid purchased Machinery for Rs. 600,000. Depreciation is to be charged @ 10% on straight line method and reducing balance method each year. On 31st October, 2017 Machinery was sold for Rs. 140,000 as they became useless. On the same date he purchased new machinery for Rs. 200,000.
Required
Prepare machinery accounts from 2015 to 2018. Accounts are closed on 31st December every year.
#digilearnerspoint, reducing balancing method, straight line method, salvage value, residual value, depreciation expense, book value, depreciation rate,
carrying value, carrying amount, trade in value
