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Calculate Depreciation Diminishing Balance Sample Assignment

Q. On 1 January 1995, a firm bought furniture and fittings for Rs. 24,000 cash and on 1 April 1996 bought additional furniture for Rs. 8,000 cash. At the end of each year depreciation is provided for at the rate of 5% p.a. by diminishing balance (i.e. reducing installment ) method. Show the furniture ad fittings account for the first there financial years.

Solution :

                                             Furniture and Fittings Account

                                                         Working Notes          Rs.
(i)    First Purchase                                                        24,000
Less: Depreciation year I                                                1,200     
                                                                                             22,800  
Less: Depreciation year II                                                 1,140
                                                                                           21,660
Less: Depreciation year III                                              1,083
                                                                                           20,577
(ii)Second Purchase                                                     8,000
Less: Depreciation for 9 Months                                  3,00
                                                                                          7,700
Less: Depreciation for year 2                                         385
                                                                                          7,315
Total Book value at the end of 3  year : 20,577 + 7,315 =27, 892

Other Sample Assignments in Accounting Homework Assignment :

Calculate Cost of Land and Building	Calculate Depreciation
Calculate Depreciation By Equal	Calculate Depreciation Diminishing Balance
Calculate Depreciation Expense	Inventory Valuation
Calculate Cost Of Sale	Calculate Inventory And Profit
Fifo Lifo	Financial Statements profit and loss
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