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A Ltd. purchased a machinery for 40 lakhs. (Useful life 4 years and residual value 78 lakhs) Government grant received is 16 lakhs.Show the Journal Entry to be passed at the time of refund of grant in the third yearand the value of the fixed assets, if:(1) the grant is credited to Fixed Assets A/c.(2) the grant is credited to Deferred Grant A/c. |
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