PLEASE JUST DO QUESTION 5 AND 6 ALL INFORMATION PROVIDED BEL

PLEASE JUST DO QUESTION 5 AND 6. ALL INFORMATION PROVIDED BELOW :)

3)

1)Asset XYZcom Register Period: 1st july 20xx to 30th June 20xx SL No Aset Asset code Name AcquisitionAcquisiton Depreciation Useful Date Salvage Previus Year Depreciation Closing Life(Years) Value Depreciation for the Year Balance Cost Method PRO01 |BBQ 1/7/20xX $220,000 Diminishing 10 SO SO $22,000 $1,98,000 Stamping Machine Balance Method PRO02 BBQ 1/7/20xX 25,000 Diminishing 10 SO SO $2,500 $22,500 Balance Method Seam Welder Note: It is assumed that the fiscal year is 1st July to 30th June. Therefore depreciation has been calculated for the full year accordingly 2)Journal XYZcom Entries Period: 1st October 20XX to 30th September 20XX Date Folio Particulars Ledger Code No Credit Debit Amount S Amount S) XX/07/20XX GL7 Insurance 6010 S1,200 Account Dr $3,600 Prepaid 1945 Insurance Account Dr To Bank Account $4,800 Being insurance expense for the 3 months incurred) Note: It is assumed that the fiscal year is 1st Oct to 30th Sept. Therefore insurance cost has been calculated for the 3 months accordingly

Solution

5 Income statement: $ $ Sales revenue 1375000 Less: Cost of goods sold 351000 Gross profit 1024000 Less: expenses Administrative and sales expense 225000 Interest on debt 97000 Depreciation (22000+2500) 24500 Insurance expense 1200 Baddebt expense 5700 353400 Income before taxes 670600 Less: Taxes @ 30% 201180 Net income 469420 6 Trial balance Account titles Debit Credit Cash 550000 Accounts receivable 117000 Inventory 84000 Prepaid expense 4800 Equipment 245000 Accumulated depreciation-Equipment 49000 Accounts payable 125000 Loans payable 361300 Net profit 465500 Total 1000800 1000800