Azad Ltd purchased furniture on October 1, 2002, for Rs 4,50,000. On March 1, 2003, it purchased another furniture for Rs 3,00,000. On July 1, 2004, it sold it off the first furniture purchased in 2002 for Rs 2,25,000. Depreciation is provided at 15% per annum on written down value method each year. Accounts are closed each year on March 31. Prepare Furniture account and Accumulated depreciation account for the years ended on March 31, 2003, March 31, 2004, and March 31, 2005. Also, give the above two accounts if Furniture disposal account is opened.

Azad Ltd purchased furniture on October 1, 2002, for Rs 4,50,000. On M

1.	Azad Ltd purchased furniture on October 1, 2002, for Rs 4,50,000. On March 1, 2003, it purchased another furniture for Rs 3,00,000. On July 1, 2004, it sold it off the first furniture purchased in 2002 for Rs 2,25,000. Depreciation is provided at 15% per annum on written down value method each year. Accounts are closed each year on March 31. Prepare Furniture account and Accumulated depreciation account for the years ended on March 31, 2003, March 31, 2004, and March 31, 2005. Also, give the above two accounts if Furniture disposal account is opened.
Answer» Azad Ltd purchased furniture on October 1, 2002, for Rs 4,50,000. On March 1, 2003, it purchased another furniture for Rs 3,00,000. On July 1, 2004, it sold it off the first furniture purchased in 2002 for Rs 2,25,000. Depreciation is provided at $15 %$ per annum on written down value method each year. Accounts are closed each year on March 31. Prepare Furniture account and Accumulated depreciation account for the years ended on March 31, 2003, March 31, 2004, and March 31, 2005. Also, give the above two accounts if Furniture disposal account is opened.