Sharif is a trader. He maintains a full set of accountings records. His financial year ends on 30 April.

The balances on his ledger accounts on 30 April 20–7 included the following:
                                                                                                                 $
Sales .......................................................................................     49,750
Rent receivable ......................................................................      2,000
Irrecoverable debts ..............................................................         960
Provision for doubtful debts .............................................        1,400
Stationery and office expenses ...........................................     3,210
Inventory (1 May 20–6) .......................................................       4,520
Office fixtures at cost ..........................................................    14,500
Provision for depreciation of office fixtures .................         5,800

Disposal of office fixtures account

a. Open an account for each of the items and enter the balance on 30 April 20–6.

Sharif provided the following additional information on 30 April 20–7.

1. Inventory was valued at $4,970.

2. Inventory of stationery was valued at $45.

3. Rent receivable outstanding amounted to $400.

4. $116 owed by Halijah should be written off as irrecoverable.

5. The provision for doubtful debts should be increased by $100.

6. Office fixtures were sold on 28 April. The proceeds of sale, $780, had been debited in the cash book, but no other entries had been made. The fixtures originally cost $2,000 and had been depreciated by $800.

7. The remaining office fixtures should be depreciated by 10% per annum on cost.

b. Record this information in the accounts opened in a. Close the accounts by balancing or by making a transfer to the income statement.