On January 01, 2014, a Limited Company purchased machinery for `Rs.` 20,00,000.  Depreciation is
Channel: Doubtnut
Date: 2021-11-02

On January 01, 2014, a Limited Company purchased machinery for `Rs.` 20,00,000.  Depreciation is provided @15% p.a. on diminishing balance method. On March 01, 2016, one fourth of machinery was damaged by fire and  `Rs.` 40,000 were received from the insurance company in full settlement. On September 01, 2016 another machinery was purchased by the company for `Rs.` 15,00,000. Write up the machinery account from 2010 to 2013. Books are closed on December 31, every year.