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 ‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incurred Rs. 25,000 for repairs, etc. He paid Rs. 10,000 as insurance, Rs. 1,500 for petrol. What amount should be debited to Car A/c?
  • a)
    Rs. 5,60,000
  • b)
    Rs. 5,96,500
  • c)
    Rs. 5,95,000
  • d)
    Rs. 5,85,000
Correct answer is 'B'. Can you explain this answer?
Verified Answer
‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incu...
All expenses incurred at the time of purchase of a capital asset or to bring the new capital asset in the working condition should be capitalised. The following expenses were incurred at the time of purchase of car:Cost of car Rs. 5,60,000Repairs Rs. 25,000 Insurance Rs. 10,000 Petrol Rs.1,500 Amount debited to Car A/c Rs. 5,96,500
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‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incu...
I'm sorry, could you please provide more context or ask a specific question so I can assist you better?
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‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incu...
Since all the amounts are making the asset ie car ready for use all amounts will added to cost of car. this amount 560000 +25000 + 10000+ 1500 will become book value of car in our accounts
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‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incurred Rs. 25,000 for repairs, etc. He paid Rs. 10,000 as insurance, Rs. 1,500 for petrol. What amount should be debited to Car A/c?a)Rs. 5,60,000b)Rs. 5,96,500c)Rs. 5,95,000d)Rs. 5,85,000Correct answer is 'B'. Can you explain this answer?
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‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incurred Rs. 25,000 for repairs, etc. He paid Rs. 10,000 as insurance, Rs. 1,500 for petrol. What amount should be debited to Car A/c?a)Rs. 5,60,000b)Rs. 5,96,500c)Rs. 5,95,000d)Rs. 5,85,000Correct answer is 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about ‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incurred Rs. 25,000 for repairs, etc. He paid Rs. 10,000 as insurance, Rs. 1,500 for petrol. What amount should be debited to Car A/c?a)Rs. 5,60,000b)Rs. 5,96,500c)Rs. 5,95,000d)Rs. 5,85,000Correct answer is 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for ‘A’ purchased a Car on 1.06.2010 for Rs. 5,60,000 and incurred Rs. 25,000 for repairs, etc. He paid Rs. 10,000 as insurance, Rs. 1,500 for petrol. What amount should be debited to Car A/c?a)Rs. 5,60,000b)Rs. 5,96,500c)Rs. 5,95,000d)Rs. 5,85,000Correct answer is 'B'. Can you explain this answer?.
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