Only 375 will be included in expenses for the year

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between the 2 financial years on a time basis. Only $375 will be included in expenses for the year ended 30 June 2016 and the other $1,125 will be included in the expenses for the next year.
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1 b. Which method(s) can be used by an organization with a turnover of $1 million per annum? Accrual Question 2 > Molotov Ltd imported a machine from Korea. The machine cost $35,600. > Freight from the Airport to the factory cost $1,200. > The company had to pay $2,100 to instal new wiring in the factory due to the power required by the machine. > The initial electricity account following the installation of the machine amounted to $456 Calculate the cost of the machine. Show your calculations. $35600 + $1200 + $2100 = $39,900 Question 3 Grace bought the following assets on 1 July 2015: Asset Cost ($) Lifetime Estimated Residual Value Car 35,000 4 1/3 years 9,000 Kitchen Equipment 20,000 5 years 1,000 Furniture 11,000 10 years Nil On 12 August she bought a computer for $1,900. The computer has a lifetime of 3 years and an estimated residual value of $100. Complete the depreciation table below. (Answer in the other document) Question 4 How are the following assets and liabilities classified in a balance sheet? What principles are used to value each item? > Vehicles > Land > Inventory > Mortgage > Accounts Payable Asset Liabilities
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1 non current current non current current vehicles(carrying) inventory(market) mortage(principle) accounts payble land(market value) (carrying) The principle used is carrying value: Car, equipment, machines, building, land: depreciation → straight life estimate residual value → 4 years example: car → $10000
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  • '18
  • Balance Sheet, Generally Accepted Accounting Principles, ABC Retails

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