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ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .?
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ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machine...
Calculation of Depreciation for the Machinery
- The original cost of the machinery purchased on 1 April 2017 was Rs. 80,000.
- The machinery was sold on 1 October 2019 for Rs. 45,000.
- The new machinery purchased on 1 April 2019 cost Rs. 1,50,000 with installation charges of Rs. 10,000.
Depreciation Calculation under DBM
- Depreciation for the year ending 31 March 2019 will be calculated at 10% on the diminishing balance method.
- Depreciation for the old machinery will be calculated from 1 April 2018 to 1 October 2019, and for the new machinery from 1 April 2019 to 31 March 2020.
Change from DBM to SLM
- The company decides to change the depreciation method from DBM to Straight Line Method (SLM) starting from 1 April 2019.
- The new machinery will be depreciated at a rate of 10% per annum on the SLM basis.
Impact on Financial Statements
- The change in depreciation method will affect the financial statements for the year ending 31 March 2020.
- The depreciation expense will be lower under SLM compared to DBM in the initial years, impacting the company's profitability.
- The change will also affect the carrying amount of the machinery on the balance sheet.
Conclusion
- The company needs to adjust its depreciation calculations and financial statements to reflect the change in depreciation method effectively from 1 April 2019 onwards.
- It is important to properly account for the depreciation expense to ensure accurate financial reporting and compliance with accounting standards.
- The original cost of the machinery purchased on 1 April 2017 was Rs. 80,000.
- The machinery was sold on 1 October 2019 for Rs. 45,000.
- The new machinery purchased on 1 April 2019 cost Rs. 1,50,000 with installation charges of Rs. 10,000.
Depreciation Calculation under DBM
- Depreciation for the year ending 31 March 2019 will be calculated at 10% on the diminishing balance method.
- Depreciation for the old machinery will be calculated from 1 April 2018 to 1 October 2019, and for the new machinery from 1 April 2019 to 31 March 2020.
Change from DBM to SLM
- The company decides to change the depreciation method from DBM to Straight Line Method (SLM) starting from 1 April 2019.
- The new machinery will be depreciated at a rate of 10% per annum on the SLM basis.
Impact on Financial Statements
- The change in depreciation method will affect the financial statements for the year ending 31 March 2020.
- The depreciation expense will be lower under SLM compared to DBM in the initial years, impacting the company's profitability.
- The change will also affect the carrying amount of the machinery on the balance sheet.
Conclusion
- The company needs to adjust its depreciation calculations and financial statements to reflect the change in depreciation method effectively from 1 April 2019 onwards.
- It is important to properly account for the depreciation expense to ensure accurate financial reporting and compliance with accounting standards.
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ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .?
Question Description
ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .?.
ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .?.
Solutions for ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? in English & in Hindi are available as part of our courses for B Com.
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Here you can find the meaning of ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? defined & explained in the simplest way possible. Besides giving the explanation of
ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .?, a detailed solution for ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? has been provided alongside types of ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? theory, EduRev gives you an
ample number of questions to practice ABCLtbalance on 1 Apl,19 Rs9,72,000 on MachineryAC. Comp depre machinery at 10% p.a.on Diminishing balance method. During yearthe mach purchased on 1 Apl17 for Rs80,000 was sold for Rs45000 on 1st Octr, 19 and new mach cost of Rs1,50,000 was purchd .installation charg were Rs10,000. The comp wants to change from DBM to SLM effect on1Apl19. The comp review the mach will work 6 years with scrapvalRs.7200. new mach will be dep at 10% p.a. on SLM. Comp close AC on 31 Mar .? tests, examples and also practice B Com tests.
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