A Machinery is purchased for $ 60,000 on 1st April 2009. It is estimated that the residual value of this plant at the end of its working life of 1o years will be $ 20,920. Depreciation is to be provided at 10% p.a. on the diminishing balance method. You are required to show the Plant Account for 4 years, assuming that the books are closed on 31st March every year.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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A Machinery is purchased for $ 60,000 on 1st April 2009. It is estimated that the residual
value of this plant at the end of its working lite of 1o years will be $ 20,920. Depreciation is
to be provided at 10% p.a. on the diminishing balance method.
You are required to show the Plant Account for 4 years, assuming that the books are
closed on 31st March every year.
Transcribed Image Text:A Machinery is purchased for $ 60,000 on 1st April 2009. It is estimated that the residual value of this plant at the end of its working lite of 1o years will be $ 20,920. Depreciation is to be provided at 10% p.a. on the diminishing balance method. You are required to show the Plant Account for 4 years, assuming that the books are closed on 31st March every year.
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