Question
In: Accounting
The Balance sheet for Pluto Ltd disclosed the following information: Pluto Ltd Balance Sheet (extract) 30th...
The Balance sheet for Pluto Ltd disclosed the following information:
Pluto Ltd
Balance Sheet (extract)
30th June 2019
Non-current Assets:
Plant –At cost: $500,000
Accumulated depreciation-Plant $(150,000)
The company has adopted fair value for the valuation of non-current assets. This has resulted in the recognition in previous periods of an asset revaluation surplus/reserve for the plant of $60,000. The plant has a useful life of 10 years and a zero residual value. On 31st December 2019, it was decided to revalue this amount to its fair value of $200,000.
Required:
(i) Record the journal entries (as per template below) as at 31 December 2019, relating to the revaluation of this plant. Include narrations.
(ii) Record the closing journal entries (as per template below)for any gain or loss on revaluation only, as at 30th June 2020. Include narrations.
Ignore any tax effects.
General Journal template:
|
Date |
Detaits | Debit $ | Credit $ |
Solutions
ekkarill92 answered 1 year agoRelated Solutions
The September 30, 2018 balance sheet of ABC Corporation disclosed the following information relating to its...
The September 30, 2018 balance sheet of ABC Corporation
disclosed the following information relating to its
receivables:
Accounts Receivable
(net of $18,000 allowance)
$342,000
ABC prepares quarterly financial statements. The following
occurred during the fourth quarter of 2018:
1. During the 4th quarter, ABC had credit sales
of $2,600,000 and collections on accounts receivable (general) of
$2,300,000. Uncollectible accounts totaling $19,000 were written
off, and a $2,600 accounts receivable previously written off was
collected (not included in the $2,300,000 of...
The September 30, 2018 balance sheet of ABC Corporation disclosed the following information relating to its...
The September 30, 2018 balance sheet of ABC Corporation
disclosed the following information relating to its
receivables:
Accounts Receivable
(net of $18,000 allowance)
$342,000
ABC prepares quarterly financial statements. The following
occurred during the fourth quarter of 2018:
1. During the 4th quarter, ABC had credit sales
of $2,600,000 and collections on accounts receivable (general) of
$2,300,000. Uncollectible accounts totaling $19,000 were written
off, and a $2,600 accounts receivable previously written off was
collected (not included in the $2,300,000 of...
The following information relates to Egoly Ltd for the year ended 30th June 2019: EGOLY LTD...
The following information relates to Egoly Ltd for the year
ended 30th June 2019:
EGOLY LTD
BALANCE SHEET
AS AT 30th JUNE 2019
2019
2018
$
$
ASSETS
Current Assets
Cash at bank
67,710
59,666
Accounts receivable
252,760
283,290
Inventory
1,107,600
951,400
Prepaid expenses
113,600
35,500
Total current assets
1,541,670
1,329,856
Non-current assets
Equipment
1,263,800
823,600
Accumulated depreciation – equipment
(238,560)
(143,136)
Total non-current assets
1,025,240
680,464
TOTAL ASSETS
2,566,910
2,010,320
LIABILITIES & SHAREHOLDERS...
The balance sheet of Murdoch Pty Ltd as at 30 June 2019 reveals the following information:...
The balance sheet of Murdoch Pty Ltd as at 30 June 2019 reveals
the following information: $(‘000s) Paid-up Capital (1,000,000
shares) 3,000 Bank Overdraft 1,000 Accounts Payable 1,500 Mortgage
Bonds, $1,000 face value (10%) 4,000 You are also given the
following additional information about the firm: a) The company’s
marginal tax rate is 30 cents in a dollar. The proportion of tax
collected from the company that is claimed by shareholders is 0.6.
b) The market price per mortgage bond...
Given the following information about Oak & Elm Manufacturing Ltd, construct a balance sheet for the...
Given the following information about Oak & Elm
Manufacturing Ltd, construct a balance sheet for the period ending
30 June 2018. As at 30 June 2018 the company had cash of $35,000,
accounts receivable of $45,000, inventory of $150,000, property,
plant and equipment of $350,000 and other assets of $15,000. It had
accounts payable of $70,000, notes payable of $36,000, long-term
debt of $225,000 and retained earnings of $149,000. What is the
book value (original issue value) of the ordinary...
QUESTION 5: A. Income statement and balance sheet From the following financial information of XYZ Ltd,...
QUESTION 5:
A. Income statement and balance sheet
From the following financial information of XYZ Ltd, for the year
ended
December 31, 2017. Prepare Income statement and Balance
sheet.
Particulars Amount $
Cash 31,000
Accounts Receivable 9,000
Equipment 90,000
Accumulated Depreciation 10,000
Accounts Payable 8,000
Bank Loan(Long term liability) 1,12,000
Sales 65,600
Cost of Goods sold 34,000
Advertising expense 10,000
Fuel expense 4,000
Interest expense 10,000
Income tax expense 2,400
Inventory 200,000
Share Capital 130,000
Short Term Liability 70,000
B....
On 31 December 2018 the following extract was taken from the balance sheet of BBD. Non-Current...
On 31 December 2018 the following extract was taken from the
balance sheet of BBD.
Non-Current Assets
Cost
Accumulated depreciation
NBV
K
K
K
Equipment
60 000
24 000
36 000
Office Computers
8 000
5 600
2 400
Total
68 000
29 600
38 400
The following transactions took place during the year ended 31
December 2019:
On 31 May 2019, equipment purchased on 1 August 2016, at a cost
of K28 000, was sold for K10 000. Payment...
at December 31, the company's fiscal year-end. The 2020 balance sheet disclosed the following: Current assets:...
at December 31, the company's fiscal year-end. The 2020 balance sheet disclosed the following: Current assets: Receivables, net of allowance for uncollectible accounts of $35,000 $ 457,000 During 2021, credit sales were $1,775,000, cash collections from customers $1,855,000, and $40,000 in accounts receivable were written off. In addition, $3,500 was collected from a customer whose account was written off in 2020. An aging of accounts receivable at December 31, 2021, reveals the following: Required: 1. Prepare summary journal entries to account for...
The following information is an extract from the financial statements of Extreme-Experiences Pty Ltd. 2020 2019...
The following information is an extract from the financial
statements of Extreme-Experiences Pty Ltd.
2020
2019
Current Assets
409,500
292,500
Non-current Assets
2,275,000
1,768,000
Current Liabilities
221,000
169,000
Non-current Liabilities
764,400
670,800
Total Revenue
728,000
624,000
Total Expenses
500,500
455,000
a) Calculate the following ratios for both
2019 and 2020.
2020
2019
Profit Margin
(Correct your answer to 0.01%)
Current Ratio
(Correct your answer to 0.1)
Debt to Total Assets Ratio
(Correct your answer to 0.01%)
b) Comment on the...
The following information is an extract from the financial statements of Extreme-Experiences Pty Ltd. 2020 2019...
The following information is an extract from the financial
statements of Extreme-Experiences Pty Ltd.
2020
2019
Current Assets
409,500
292,500
Non-current Assets
2,275,000
1,768,000
Current Liabilities
221,000
169,000
Non-current Liabilities
764,400
670,800
Total Revenue
728,000
624,000
Total Expenses
500,500
455,000
Required: Answer the following questions in the
spaces provided below:
a) Calculate the following ratios for both
2019 and 2020.
2020
2019
Profit Margin
(Correct your answer to 0.01%)
Current Ratio
(Correct your answer to 0.1)
Debt to Total Assets...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- Consider the differences between management and leadership in the selected organisation. Evaluate how management and leadership...
- Show with a diagram or algorithm a man-in-the-middle attack on the Simple Secret Key Distribution Protocol.
- What are the errors in this code? //1. //Filename: CarbonFootprintTest.java //The file tests the Car class...
- Using a vending machine requires instructions from the person buying an item and the machine dispensing...
- Required: Return on Equity (ROE) is used, and some say “abused” when measuring the financial performance...
- Selected business Emirates Airlines found in Garhoud, Dubai, United Arab Emirates. This section should present an...
- 3. Melania K. is in possession of a check signed and issued by Donald T. that...
ADVERTISEMENT