1 . Provide for depreciation as follows :" On furniture and Equipment : 16% per annum on cost . Note that a new Equipment costing R 2 2 50.0. 00 , was bought on July 1 , 2016 . This has been properly recorded . On motor vehicles : 14%6 per annum on the reducing balance method . 2 . A debtor , R. Todd , who owed R658. 13 , has been declared insolvent . The business received 45 cents in the rand from the insolvent Estate . This transaction must still be recorded . Write the rest of the debt off as irrecoverable .* An allowance for credit losses of 2.50%` of trade receivables should be maintained . Adjust the allowance for settlement discount granted to 3. 50% of good book debtors .* 4 . R. 207 . 03 has been recovered in cash from a debtor whose account had previously been written* off as irrecoverable . No entry has been made as yet . 5 . The electricity expense for March 2017 has not yet been paid , R. 1 057 . 73 6 . Insurance for April 2017 has been prepaid , R.532.50 .` . Service income has not been received for March 2017 , 1.3 323. 86 . 8 . The rent income for April 2017 has been received already , R. 2 162. 50 . 9 . An invoice for R.564.00 has been received from Tele- Advertising for advertising expenses . This transaction has not yet been recorded . 10 . An amount of R.5 41. 00 was paid to Moray Garage for delivery ( by raill of trading inventory to the business . This was debitEd to the fuel account in error ( which has not yet been corrected ) . The inventory to which the railage applies has not yet been sold .\\ 1 1 . The owner took trading inventory for personal use . The selling price was R.8 12. 00 IVAT is not* applicable ) . The mark up is $5% on cost price . The transaction must still be processed . 12 . The stock take revealed the following items on hand :" Trading inventory - 1.7 937. 47 Postage and stationery - 1.912. 60 Cleaning materials - R 1 73.3. 88 13 . Provide for the interest on the mortgage loan . Interest is calculated at 13%6 per annum . The liability was re- paid ( redeemed ; by 1. 40 090.00 on December 1 , 2016 . There were no other additional loans or repayments during the financial year , but twelve end - of month instalments of R1 489. 58 each are due to be repaid on the loan , starting at the end of April 2017 . Note : The owner made no further capital contributions during the year in question . The DJ Traders applies the perpetual inventory system