Consider the following entries in the book of account of R.S. Limited (a) When depreciation is charged to assets account Books of R.S. Limited Vehicle Account I , , End of , year the year , , , , , , II , , End of , year the year , . , , , , III , , End of , year the year , , , , , , IV , , Depreciaton , year Profit and , loss (Profit on sale of vehicle) , , , , (b) When Provision for depreciation account is maintained.
Books of R.S. Limited Vehicle Account I , , End of , , year the year , , , , II , , End of , , year the year , , , , III , , End of , , year the year , , , , IV , , Provison for , , year Profit and loss depreciation (Profit on Sale , of Vehicle) , , , , Provision for Depreciation Ist , End of , year year , , II , , End of , year the year , , , , , III , , End of , , year the year , , , , , IV Machinery , , End of , , year the year Provison for , , , , ,