Fixed accounting depreciation

Ashwin N (Chartered Accountant) (192 Points)

29 September 2016  

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.