University | University of Birmingham (UoB) |
Subject | Financial Accounting |
Posted on: 30th Sep 2023
Financial Accounting Assignment, UoB, Singapore: The older delivery van costing $120,000 bought on 11 November 2016 was traded in for a new one on 19 June 2021
- The older delivery van costing $120,000 bought on 11 November 2016 was traded in for a new one on 19 June 2021. The new vehicle costs $180,000 before the trade-in allowance of $9,500 given by Motorola Ltd. The balance payable to the vendor was settled in early July 2021 No entries have been made in the books so far for the trade-in transaction.
- Unused office supplies at the end of 30 June 2021 amounted to $4,519.
- The allowance for debtor impairment is to be adjusted to $3,000.
- The old rental contract was renewed in May 2021. Rental for the first 6 months from May to October has been duly paid. The monthly rental was increased by 50% under the new contract.
- The 40 units of defective inventory returned by the customer on June 08 are to be written off.
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