Q1. A machine which cost Rs.40000 has an estimate life of 10 years and scrap value of 4000. Straight line method was used. Give the entries required in each of the following alternative assumptions. 1. the machine was sold for cash Rs.17000 after 5 years use. 2. the machine was traded in after 6 years with another machine with the list price of Rs.40000, trade in allowance was Rs.22000. record the transaction in two alternative assumptions. 3. the machine was scrapped after 8 years of use it was given to scrap dealer for his services in removing it.

Q2. A machine which cost Rs.38800 has an estimated life of 9 years and scrap value of Rs.2800 straight line method was used. Give the entries required in each of the following alternative assumptions. 1.machine was sold for cash Rs.15200 after 5 years use. 2. The machine was traded in after four years with another machine with the list price of Rs.42000 trade in allowance was Rs.23000. 3. The machine was scrapped after 7 years of use. It was given to scrap dealer for his services in removing it.

Q3. A machine which cost Rs.50,000 has an estimated life of 10 years and scrap value of Rs.2000. diminishing balance method was used. Give the entries required each of the following alternative assumptions. 1. The machine was sold for cash Rs.15000 after 4 years use. 2. The machine was traded in after 5 years with another machine with the list price of rupees Rs. 30000. Trade in allowance was Rs. 24000. 3. The machine was scrapped after 9 years of use. It was given to scrap dealer for his services in removing it.

Q4. A machine which cost Rs.60000 has an estimated life of 10 years and scrap value of Rs.5000. Double declining method was used. Give the entries required in each of the following alternative assumptions. 1. The machine was sold for cash Rs.20000 after 4 years use. 2. The machine was traded in after 5 years with another machine with the list price of Rs.45000. Trade in allowance was Rs.25,000. 3. The machine was scrapped after 7 years of use. It was given to scrap dealer for his services in removing it.