Calculate the amount of cash from sale of machinery from the following items :

A machine costing 20,000 having book value of 15,000 is sold for 12,000 and depreciation charged during the year was Rs 8,000. The opening and closing balance in machinery account was 1,80,000 and 1,72,000 respectively.

₹12,000

The correct answer is option (1) : 12,000

Cost of machinery = 20000
Book value of machinery = 15000
Depreciation = 20000 - 15000
                   = ₹5000

₹12000 is sale value.
Loss = 15000 - 12000
       = ₹3000

Sale value is the cash received from sale so answer is 12000.