Errors   LO3 The annual audit of the accounting records and draft financial statements of Koala Ltd as at 30 June 2020 revealed the following errors and omissions.

(a) Credit notes totalling $33 000 relating to June sales were posted against sales made in July.

(b) The purchase price of $71 200 for a new vehicle on 1 January 2019 was posted to the vehicle maintenance expense account. Motor vehicles are depreciated at 25% p.a. straight-line.

(c) A manufacturing assembly line has been taken out of operation pending its sale. The asset had a carrying amount of $50 000 as at 30 June 2020 and is likely to be sold for a profit.

(d) No disclosure has been made about a fire in the warehouse during May that caused damage worth $10 000. The warehouse and its contents are fully insured.

(e) No adjustment to the allowance for doubtful debts has been made to reflect the fact that a major debtor owing $20 000 went into liquidation after the end of the reporting period. Correspondence with the liquidator indicates that the expected payout will be no more than 10c in the dollar. Required Assume all errors and omissions are material. Prepare the necessary adjustments (if any) for each item.