As-10

 there is a machine having WDV value Rs.10,000,00. but actually machine in not working condition and its net realisable value will be approx less than 100000. company renew the machine , incurred RS. 5,000,00. on his improvement and capitalise such amount, now machine book value is 1500000. however depreciation charged @ comapies act.

please advice me it is correct or not as per AS-10, provide ground for proofing that,

Thanks in advance.