M/s Dalmia Textile Mills purchased machinery on April 01 2001 for Rs.2,00,000 on credit from M/s Ahuja and sons and spent Rs.10,000 for its installation. Depreciation is provided @10%p.a on written down value basis. Prepare Machinery Account for the first three years. Books are closed on March 31, every year.

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Books of Dalmia Textiles mills Machinery AccountDr. Cr.Date ParticularsJ.FAmountDateParticularsJ.FAmount2001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d2,00,00010,0002002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/d210001,89,0002001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d2,10,0002002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/d2,10,0002001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d1,89,0002002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/d18,9001,70,1002001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d1,89,0002002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/d1,89,0002001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d1,70,1002002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/d17,0101,53,0902001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d1,70,1002002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/d1,70,1002001Apr.012002Arr.012003Apr.012004BankBankBalance b/dBalance b/dBalance b/d1,53,0902002Mar.312003Mar.012004Mar.31DepreciationBalance c/dDepreciationBalance c/dDepreciationBalance c/dWorking NotesCalculation of the amount of deprecationOriginal cost on 01.01.2001Less: Depreciation for the year 2001(@10% of 2,10,000)WDV on 31.12.2001/01.10.2002Less: Depreciation for the year 2002(@10% of 1,89,000)WDV on 31.12.2002/01.01.2003Less Depreciation for the year 2003(@10% 0f 1,70,100)WDV on 31.12.20032,10,000 + 10,0002,10,000 21,000 1,89,000Calculation of the amount of deprecationOriginal cost on 01.01.2001Less: Depreciation for the year 2001(@10% of 2,10,000)WDV on 31.12.2001/01.10.2002Less: Depreciation for the year 2002(@10% of 1,89,000)WDV on 31.12.2002/01.01.2003Less Depreciation for the year 2003(@10% 0f 1,70,100)WDV on 31.12.20032,10,000 + 10,000 18,9001,70,100Calculation of the amount of deprecationOriginal cost on 01.01.2001Less: Depreciation for the year 2001(@10% of 2,10,000)WDV on 31.12.2001/01.10.2002Less: Depreciation for the year 2002(@10% of 1,89,000)WDV on 31.12.2002/01.01.2003Less Depreciation for the year 2003(@10% 0f 1,70,100)WDV on 31.12.20032,10,000 + 10,000 17,0101,53,090

Date	Particulars	J.F	Amount	Date	Particulars	J.F	Amount
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		2,00,000 10,000	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d		21000 1,89,000
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		2,10,000	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d		2,10,000
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		1,89,000	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d		18,900 1,70,100
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		1,89,000	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d		1,89,000
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		1,70,100	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d		17,010 1,53,090
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		1,70,100	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d		1,70,100
2001 Apr.01 2002 Arr.01 2003 Apr.01 2004	Bank Bank Balance b/d Balance b/d Balance b/d		1,53,090	2002 Mar.31 2003 Mar.01 2004 Mar.31	Depreciation Balance c/d Depreciation Balance c/d Depreciation Balance c/d

Calculation of the amount of deprecation Original cost on 01.01.2001 Less: Depreciation for the year 2001 (@10% of 2,10,000) WDV on 31.12.2001/01.10.2002 Less: Depreciation for the year 2002 (@10% of 1,89,000) WDV on 31.12.2002/01.01.2003 Less Depreciation for the year 2003 (@10% 0f 1,70,100) WDV on 31.12.2003	2,10,000 + 10,000	2,10,000 21,000 1,89,000
Calculation of the amount of deprecation Original cost on 01.01.2001 Less: Depreciation for the year 2001 (@10% of 2,10,000) WDV on 31.12.2001/01.10.2002 Less: Depreciation for the year 2002 (@10% of 1,89,000) WDV on 31.12.2002/01.01.2003 Less Depreciation for the year 2003 (@10% 0f 1,70,100) WDV on 31.12.2003	2,10,000 + 10,000	18,900 1,70,100
Calculation of the amount of deprecation Original cost on 01.01.2001 Less: Depreciation for the year 2001 (@10% of 2,10,000) WDV on 31.12.2001/01.10.2002 Less: Depreciation for the year 2002 (@10% of 1,89,000) WDV on 31.12.2002/01.01.2003 Less Depreciation for the year 2003 (@10% 0f 1,70,100) WDV on 31.12.2003	2,10,000 + 10,000	17,010 1,53,090

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