15 000 1 Interest expense Cr 15 000 e Retained earnings 1709 Dr 8 000 2 Cost of

15 000 1 interest expense cr 15 000 e retained

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15 000 (1) Interest expense Cr 15 000 (e) Retained earnings (1/7/09) Dr 8 000 (2) Cost of sales Cr 8 000 Income tax expense Dr 2 400 (1) Retained earnings (1/7/09) Cr 2 400 (f) Sales revenue Dr 60 000 (2) Cost of sales Cr 54 000 Inventory Cr 6 000 Deferred tax asset Dr 1 800 (1) Income tax expense Cr 1 800 (g) Sales revenue Dr 30 000 (1) Cost of sales Cr 30 000 Trade payable Dr 30 000 (1) Trade receivable Cr 30 000
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11 (h) Tractor Dr 14 000 (2) Proceeds from sale Dr 26 000 Accumulated depreciation Cr 30 000 Carrying amount of tractor sold Cr 10 000 Deferred tax asset Dr 4 800 (1) Income tax expense Cr 4 800 Accumulated depreciation Dr 4 000 (2) Depreciation expense Cr 4 000 Income tax expense Dr 1 200 (1) Deferred tax asset Cr 1 200 (i) Retained earnings (1/7/09) Dr 40 000 (2) Land Cr 40 000 Deferred tax asset Dr 12 000 (1) Retained earnings (1/7/09) 12 000
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