Week 12 Tutorial Solutions
Week 12 Tutorial Exercise
Revision Chapters 6, 19, 20
Multiple Choice Questions
Sales Returns is what type of account?
Contra to sales revenue
Contra to an asset
The primary purpose of (cash) settlement discounts is to:
The entry to record the return of goods to a supplier under the perpetual
inventory system is:
In the financial statements prepared at the end of the accounting period the
item Accumulated Depreciation appears:
On 31 December 2011 a new motor vehicle with a life of five years and an estimated
residual value of $3000 was purchased by a business at a cost of $23 000. (Ignore GST)
The straight-line depreciation method is used. What is the carrying amount of the motor
vehicle at 31 December 2014 (after charging depreciation for that year)?