Question No 20 Chapter No 11 - Unimax 11 Class

Question No 20 Chapter No 11 – Unimax Class 11

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The solution of Question No 20 Chapter No 11 –

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

On 1st Jan., 2017 a company purchased a machinery for ₹ 10,000. It spent ₹ 2,000 on its erection. On 1st July,2017 it purchased another machinery for ₹ 4,000. On 1st Jan., 2019 the machinery purchased on 1st Jan. 2017 ₹ was sold for ₹ 4,600. The company writes on depreciation a 10% p.a. on the diminishing balance method. Prepare machinery account for three years ending 31st Dec., 2019.

The solution of Question No 20 Chapter No 11 –

Dr.	Machine A/c						Cr.
Date	Particulars	J.F.	Amount	Date	Particulars	J.F.	Amount
01/04/17	To Bank A/c		10,000	31/12/17	By Deprecation A/c		1,400
01/10/17	To Bank A/c		2,000	31/12/17	By Balance C/d		14,600
01/10/17	To Bank A/c		4,000
			16,000				16,000
01/01/18	To Balance b/d		14,600	31/12/18	By Deprecation A/c		1,460
				31/12/18	By Balance C/d		13,140
			14,600				14,600
01/01/19	To Balance b/d		13,140	31/10/19	By Bank A/c		4,600
				31/10/19	By Profit & Loss A/c		5,120
				31/12/19	By Deprecation A/c		342
				31/12/19	By Balance C/d		3,078
			13,140				13,140

Working Note:
(1) Depreciation on machinery purchased on Jan. 2017:
Dep. On 31/12/2017 = ₹ 1,200.
Dep. On 31/12/2018 = ₹ 1,080.
(2) Book value of machinery purchased on Jan.1,2017 at, date Jan.1,2019 ₹ = 9,720.
(3) Loss on sale machinery = ₹ (9,720-4,600) = ₹ 5,120.
(4) Depreciation on machinery purchased on July 1,2017:
Dep. On 31/12/2017 = ₹ 200
Dep. On 31/12/2018 = ₹ 380
Dep. On 31/12/2019 = ₹ 342

It is all about Question No 20 Chapter 11 of Class 11 unimax, If you have any problem please comment below.

Read out the full article to know the meaning of Depreciation

Depreciation | Meaning | Methods | Examples

Depreciation | Meaning | Methods | Examples

Also, Check out the same article in Hindi from the following link

Depreciation | Meaning | Methods | Examples-in Hindi

Also, Check out the solved question of all Chapters: –

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Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

Part-I

Students may choose only one part from the Part II and Part III

Part-II

Chapter No. 15 – Financial Statements (Without Adjustments)
Chapter No. 16 – Financial Statements (With Adjustments)
Chapter No. 17 – Accounts from Incomplete Records – Single Entry System

Part-III

Chapter No. 18 – Introduction to Computers and Accounting information System
Chapter No. 19 – Computerised Accounting
Chapter No. 20 – Accounting Software: Tally
Chapter No. 21 – Data Base System
Chapter No. 22 – Concept of Entity and Relationship
Chapter No. 18 – Introduction to Computers and Accounting information System
Chapter No. 19 – Computerised Accounting
Chapter No. 20 – Accounting Software: Tally
Chapter No. 21 – Data Base System
Chapter No. 22 – Concept of Entity and Relationship

Question No 20 Chapter No 11 – Unimax 11 Class

The solution of Question No 20 Chapter No 11 –

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

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