In preparing the financial statements for the year ended 30 June
2018 the accountant of Windsor...
In preparing the financial statements for the year ended 30 June
2018 the accountant of Windsor Ltd, a tobacco manufacturer and
wholesaler, has come to you with the following information and
request your advice on the appropriate accounting treatment in
light of Framework 2014. Justify your answers
(a) The company's plant requires a major overhaul every five years.
It has a five-year contract with Zappa Ltd to undertake these
overhauls. The next overhaul, which is expected to cost $500000,
will...
Business Inc. pays payroll weekly of 8,000 on Fridays. The
accountant is preparing the financial statements...
Business Inc. pays payroll weekly of 8,000 on Fridays. The
accountant is preparing the financial statements for the month of
June. Assume that June 30 falls on a Monday. Which of the following
is the required period end adjustment entry, assuming that a work
week is from Monday to Friday? A. Debit salary expense 1,600 and
credit accrued salaries payable 1,600 B. Debit prepaid salary 1,600
and credit cash 1,600 C. Debit salary expense 6,400 and credit
salaries payable 6,400...
For the financial year ending 30 June 2020, Malkin Ltd has some
liability issues for which...
For the financial year ending 30 June 2020, Malkin Ltd has some
liability issues for which it seeks your help:
The company sells widgets and provides a one-year warranty.
100,000 widgets were sold for the year ended 30 June 2020, and
150,000 are expected to be sold next year. 2% of units sold are
estimated to require warranty work, at an average cost of $3 per
unit. Actual repairs incurred for units sold in the year just ended
were $1,800....
You are the financial accountant of Rabbit (Pty) Ltd and are
preparing the financial statements for...
You are the financial accountant of Rabbit (Pty) Ltd and are
preparing the financial statements for the year ended 30 June 2003.
The AGM is scheduled to be held on 12 August 2003, on which date
the financial statements are to be approved by the directors. The
following matters come to your attention:
i. On 1 August the Accountant uncovered a serious fraud,
amounting to R500 000. The trade payables clerk had created a
fictitious supplier account, issuing false invoices...
12. On June 30, 2018, when an
accountant for Harris Co., was preparing the bank reconciliation,...
12. On June 30, 2018, when an
accountant for Harris Co., was preparing the bank reconciliation,
he/she
found that the company
had outstanding checks in the amount of $1,850 and deposits in
transit of
$2,000. Regarding
these two items the accountant then took the following action:
A. Made the following
entry:
Cash 2,000
Revenue 2,000
Operating
Expense 1,850
Outstanding
Checks 1,850
B. Made the following entry:
Cash 150
Cash
short and Over 150
C. Made the following entry.
Cash 2,000
Bank
Balance 2,000
Operating
Expense 1,850
Cash 1,850
D....
The financial statements for Waverley Ltd are provided
below:
Waverley Ltd
Comparative Balance Sheet
As at...
The financial statements for Waverley Ltd are provided
below:
Waverley Ltd
Comparative Balance Sheet
As at 30 June 2019 and 2020
2019
2020
Assets
Cash At Bank
167,000
215,000
Accounts Receivable
213,000
158,000
Inventory
68,000
73,000
Prepaid Rent
4,000
5,000
Buildings
320,000
350,000
Accumulated Depreciation – Buildings
(108,000)
(132,000)
Equipment
67,000
78,000
Accumulated Depreciation – Equipment
(25,000)
(26,000)
706,000
721,000
Liabilities
Accounts Payable
236,000
228,000
Dividend Payable
12,000
13,000
Salary Payable
18,000
20,000
Tax Payable
16,000
17,000
Bank Loan
158,000...
GCA Ltd reported the following information in its statement of
financial position at 30 June 2020:...
GCA Ltd reported the following information in its statement of
financial position at 30 June 2020: Plant $650,000 Accumulated
depreciation – plant (150,000) Intangible assets 300,000
Accumulated amortisation (100,000) Land 300,000 Total non-current
assets 1,000,000 Cash 50,000 Inventory 180,000 Total current assets
230,000 Total assets $1,230,000 Liabilities 150,000 Net assets
$1,080,000 At 30 June 2020, GCA Ltd analysed the internal and
external sources of information that would indicate deterioration
in the worth of its assets. It determined that there were...
Financial information at 30 June 2020 of Great Ltd and its
subsidiary company, Wall Ltd, is...
Financial information at 30 June 2020 of Great Ltd and its
subsidiary company, Wall Ltd, is shown below.
At 1 July 2017, the date Great Ltd acquired its 80% shareholding
in Wall Ltd, all the identifiable assets and liabilities of Wall
Ltd were at fair value except for the following assets:
Carrying amount
Fair value
Plant (cost $75,000)
$49,000
$55,000
Land
29,000
37,000
The plant has an expected life of 10 years, with benefits being
received evenly over that period....