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Date Particular Debit Credit: Ans To The Question No - 1
Date Particular Debit Credit: Ans To The Question No - 1
Chapter -05
Working Note
1. Payment to Summon
Purchase = 2,200
Returned = 100
Discount = 2,100 x 2% = 42
Allowance granted = 50
Chapter -06
1) Lifo Method
Ending Inventory
Prove
2) Fifo Method
Date Unit Unit cost Total cost
July 21 10 110 1100
July 21 40 100 4000
Cost of goods available for sale 35280
(-) ending Inventory 5100
Cost of goods sold 30180
Prove
=35280/400= 88.2
Ending Inventory
CHAPTER 8
Abdur Company
Company Books
Cash Balance According to Company 7465
Add: Proceeds of note collected by bank
Principal Plus Interest 2085
Error in recording check no. 007(950-750) 200
Error in recording cash sales 360 2645
(-) deductions
NSF Check 750
Printing Charge 60 (810)
Adjusted Book Balance 9300
1. Prepare the adjusting entry to record the estimated uncollectible accounts expense in
2014.
Account Titles dr cr
Bad debts Expense 7600
Allowance for doubtful accounts 7600
2) Show the balance sheet presentation of accounts receivable on December 31, 2014.
Make the appropriate entry to record the write-off of the Ferntti account.
Show the balance sheet presentation of accounts receivable before and after the write-off.
A) Depreciation is calculated considering salavage value ,then the reaming value of assest after
its useful life will be salvage value 12000
Since there is no salvage value is receivable, we need to write off the asset further depreciating it
with salvage value
Machinery---------Cr 12000
ii)
=21000
Machinery----------------------------------Cr 21000
B
i)
Annual Depreciation
Straight-line method = Cost Of asset – Salvage value/ Useful years
(2820000-300000)/8
=315000
ii)
usefull years 8