The following balances appear in the books of Crystal Ltd.
On Jan 01,2005
Machinery account on 15,00,000
Provision for depreciation account 5,50,000
On April 01,2005 a machinery which was purchased on January 01.2002 for Rs. 2,00,000 was sold for Rs.78,000. A new machine was purchased on July 01.2005 for Rs. 6,00,000 depreciation is provided on machinery at 20% p.a. on straight line method and books are closed on December 31 every year. Prepare the machinery account and provision for depreciation account for the year ending December 31 2005.
