Fixed accounting depreciation

Hi,

A company has purchased Factory of Rs. 80 Lacs by giving 3 Lacs as advance to seller and had done Registration with own money.

My Question is whether Depreciation will be charged for the assets,beacuse Dep will be around Rs.8 Lacs. which is more than advance amount paid.whether it is necessary to show it as Fixed Assets.

Replies (3)
3 lakh is only advance to the seller... So entire 8 lacs is noted as provisional depreciation in companies assets and provided in full after providing full depreciation. Please correct me if I am wrong..
3 lakh is only advance to the seller... So entire 8 lacs is noted as provisional depreciation in companies assets and provided in full after providing full depreciation. Please correct me if I am wrong..
3 lakh is only advance to the seller... So entire 8 lacs is noted as provisional depreciation in companies assets and provided in full after providing full depreciation. Please correct me if I am wrong..

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