Disposal of asset - class-XI
Description: disposal of asset | |
Number of Questions: 47 | |
Created by: Trisha Prashad | |
Tags: accountancy depreciation, provision and reserve depreciation depreciation, provisions and reserves depreciation accounting |
When scrap is sold ________ account is credited.
An item of fixed assets which has retired from active use and is held for disposal is ______________.
Give journal entries for:
Transfer of balance in asset account in case of loss.
Account appear under Use of Asset Disposal Account are ____________________.
Disposal of asset can be done________.
The amount incurred on asset additions/extensions is _____.
What is debited in asset disposal account?
Additional asset is Depreciated from _______.
When a part of the asset is sold and provision for depreciation account exists, which new account is formed ?
The balance of asset disposal account is transferred to __________.
What is credited in asset disposal account?
Book value of machinery is Rs.1,00,000 .
Rate of depreciation is 10%
New addition to machinery was made on 1/10/2016 of Rs.5000
What will be the depreciation for year ending 31/3/2017?
Book value of machinery is Rs.3,00,000 .
Rate of depreciation is 15%
New addition to machinery was made on 1/1/2015 of Rs.20000
What will be the depreciation for year ending 31/3/2015?
Book value of machinery is Rs.4,00,000 .
Rate of depreciation is 10%
New addition to machinery was made on 1/10/2016 of Rs.35000
What will be the additional depreciation for year ending 31/3/2017?
Profit on sale of Asset is __________ to Profit and loss A/c.
___________ is designed to provide a complete and clear view of all the transactions involved in the sale of asset under one account head.
________can take place either at the end of life of asset or during its useful life.
Original cost - 2,50,000, Accumulated Deprecation - 50,000, Sale Price - 2,00,000
calculate resulting profit and loss.
Loss on sale of asset is ___________ to profit and loss A/c.
Original cost - 100000, Accumulated Deprecation - 80000, Sale Price - 15000
calculate resulting profit and loss.
During sale of Asset the accumulated Depreciation in Provision Account is transferred to _______.
While charging depreciation during sale of asset, ________ is Credited.
Any addition or extension to asset must be ________ its useful life of that asset.
The amount of depreciation charged on machinery is debited to ________ account.
The Profit on Sale of an asset is debited to ________ Account.
Revaluation of assets is carried out through _________.
Loss on disposal of assets is credited to _____________.
A purchased a machine for Rs. $200,000$ and incurred Rs. $5000$ on its installation and commissioning. After $3$ yrs it is sold for Rs. $100,000$ resulting into a loss of Rs. $44,850$. The book value of the machine on the date of sale is ___________.
If a concern proposes to discontinue its business from March 2015 and decides to dispose of all its assets within a period of $4$ months, the Balance Sheet as on March 31, 2015 should indicate the assets at their ______.
B Ltd acquired a machine on 1st January, 2010 at a cost of Rs. $14,000$ and spent Rs. $1,000$ on its installation. The firm writes off depreciation at $10$% p.a. of the original cost every year. The books are closed on 31st December every year. After 3 years machine sold for Rs. $13,000$. Profit/Loss on sale = ?
A Ltd. acquired a machine on 1st January, 2010 at a cost of Rs. $14,000$ and spent Rs. $1,000$ on its installation. The firm writes off depreciation at $10$% p.a. of the original cost every year. The books are closed on 31st December every year. After 3 years machine sold for Rs. $9,000$. Profit/Loss on sale = ?
Loss on machine sold on 1.10.2002 in year 2002-2003 will be -
T Ltd. acquired a machine on 1st January, 2010 at a cost of Rs. $1,40,000$ and spent Rs. $10,000$ on its installation. The firm writes off depreciation at $15$% p.a on WDV. The books are closed on 31st December every year. After 3 years machine sold for Rs. $87,000$. Profit/Loss on sale = ?
S Ltd acquired a machine on 1st January, 2010 at a cost of Rs. $1,40,000$ and spent Rs. $10,000$ on its installation. The firm writes off depreciation at $15$% p.a on WDV. The books are closed on 31st December every year. After 3 years machine sold for Rs. $97,000$. Profit/Loss on sale = ?
V Ltd acquired machine on 1st July, 2010 at a cost of Rs. $15,000$. The firm writes off depreciation at $10$% pa.a on WDV. The books are closed on 31st March every year. On 30th June 2013 machine sold for Rs. $8,000$. Profit/Loss on sale = ?
C Ltd. acquired a machine on 1st January, 2010 at a cost of Rs. $14,000$ and spend Rs. $1,000$ on its installation. The firm writes off depreciation at $10$% p.a of the original cost every year. The books are closed on 31st December every year. On 31st May 2013 machine sold for Rs. $8,000$. Profit/Loss on sale = ?
In an enterprise some tools were purchased worth Rs.2000 and later after 5 months additional tools worth Rs.4000 were purchased. It was presumed that the value of the total tools at the end of the year will be Rs.2000. What will be the depreciable value?
A purchased an old computer costing $Rs. 10,000$ and incurred $Rs. 1,000$ on its repair and $Rs. 500$ on its packing. He sold the computer at $20$% margin on selling price. The sales value will be _________.
On the basis of following information answer the following question.
The balance in accumulated depreciation account of a company at the beginning of year $2008 - 2009$ was Rs$2,00,000$ when the original cost of the assets amounted to Rs$10,00,000$. The company charges $10\%$ depreciation on a SLM basis for all assets including those which have been either purchased or sold during the year. One such asset costing Rs.$5,00,000$ which accumulated depreciation as at the beginning of the year of Rs$80,000$ was disposed off during the year. |
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Depreciation from the current year = ?
In the books of SZ Ltd. the machinery account shows a debit balance of Rs. 60,000 as on 1.4.2015. The machinery was sold on 30.9.2016 for 30,000. The company charges depreciation @ 20 % p.a on diminishing balance method. Profit/Loss on sale = ?
A trader purchased a machinery for Rs.10,000 in jan 2004, Depreciation is charged @ 25% diminishing balance. At the end of third year it was sold for Rs.1,000. Profit or Loss on sale of machine will be:
A machine was purchased for Rs. 5,000 installation expenses amounted to Rs. 2,000 wages of Rs. 4,000 were paid on installation. The scrap value at the end of its useful life of 10 years is Rs. 6,000. Repairs of Rs. 6,000 was made after 6 months from the date of purchase. Calculate depreciation.
Unabsorbed scientific research Rs.$7,65,000$ (revenue nature Rs.$1,65,000$) can be carried forward for a maximum period of:
A purchased an old computer costing Rs. $10,000$ and incurred Rs. $1,000$ on its repair and Rs. $500$ on its packing. He sold the computer at $20\%$ margin on selling price. The sales value will be _________________.
On the basis of the information given below, answer the given question.
A firm, which depreciates its machinery at $10\%$ p.a on WDV method, had on $1st$ April, $2002$, Rs$9,72,000$ in the debit of machinery account. During the year ended $31st$ March, $2003$, a part of the machinery purchased on $1st$ April, $2000$ for $Rs.80,000$ was sold for Rs.$45,000$ on $1st$ October, $2002$ and a new machinery at a cost of Rs.$1,50,000$ was purchased and installed on the same date, installation charges being Rs.$8,000$. On $31st$ March, $2003$, the firm decided to change its method of charging depreciation from WDV method to SLM with effect from April, $2000$, the rate of depreciation remaining the same as before. |
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Depreciation on machine sold upto $1.10.2002$ in year $2002 - 2003$ will be-
On the basis of the information given below, answer the given question.
A firm, which depreciates its machinery at $10\%$ p.a on WDV method, had on $1st$ April, $2002$, Rs$9,72,000$ in the debit of machinery account. During the year ended $31st$ March, $2003$, a part of the machinery purchased on $1st$ April, $2000$ for $Rs.80,000$ was sold for Rs.$45,000$ on $1st$ October, $2002$ and a new machinery at a cost of Rs.$1,50,000$ was purchased and installed on the same date, installation charges being Rs.$8,000$. On $31st$ March, $2003$, the firm decided to change its method of charging depreciation from WDV method to SLM with effect from April, $2000$, the rate of depreciation remaining the same as before. |
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Extra depreciation due to change in method will be-
On the basis of the information given below, answer the given question.
A firm, which depreciates its machinery at $10\%$ p.a on WDV method, had on $1st$ April, $2002$, Rs$9,72,000$ in the debit of machinery account. During the year ended $31st$ March, $2003$, a part of the machinery purchased on $1st$ April, $2000$ for $Rs.80,000$ was sold for Rs.$45,000$ on $1st$ October, $2002$ and a new machinery at a cost of Rs.$1,50,000$ was purchased and installed on the same date, installation charges being Rs.$8,000$. On $31st$ March, $2003$, the firm decided to change its method of charging depreciation from WDV method to SLM with effect from April, $2000$, the rate of depreciation remaining the same as before. |
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Closing balance of machinery account will be-