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.

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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: –

Advanced Accountancy – Unimax Class 11 – 2021 – Solution.

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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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