Ganga Ltd. Purchased a machinery on January 01.2001 for Rs. 5,50,000 And spent Rs. 50,000 on its installation. On September 01.2001 it purchased another machine for Rs. 3,70,000. On May 01,2002 it purchased another machine for Rs. 8,40,000 (including installation expenses). Depreciation was provided on machinery @ 10% p.a. on original cost method annually on December 31, prepare
(a) Machinery account and depreciation account for the years 2001, 2002, 2003 and 2004.
(b) If depreciation is accumulated in provision for Depreciation account then prepare machine account and provision for depreciation account for the years 2001,2002, 2003 and 2004.
