From the following information calculate how much amount of depreciation will be shown in the Income and Expenditure A/c for the year 2021-22 :
As on 31 March, 2021 As on 31 March, 2022 Furniture Rs. 1,80,000 Rs. 1,60,250
Furniture worth Rs. 8,000 was sold for Rs. 10,000 on 1 April, 2021.
From the following information calculate how much amount of depreciation will be shown in the Income and Expenditure A/c for the year 2021-22 :
| As on 31 March, 2021 | As on 31 March, 2022 | |
|---|---|---|
| Furniture | Rs. 1,80,000 | Rs. 1,60,250 |
Furniture worth Rs. 8,000 was sold for Rs. 10,000 on 1 April, 2021.
Solution
✅ Correct Option: 2
Opening furniture 1,80,000 minus book value of furniture sold 8,000 = 1,72,000.
Closing furniture = 1,60,250.
Depreciation = 1,72,000 minus 1,60,250 = Rs. 11,750.
Note: Topic relates to NPO; placed under Financial Statements/Nature-Structure as closest fit.
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