Question
4/ In January, 2022, due to Covid cases has been severely raised, UEL contracted Pfizer one of the worlds premier biopharmaceutical companies to buy the
4/ In January, 2022, due to Covid cases has been severely raised, UEL contracted Pfizer one of the worlds premier biopharmaceutical companies to buy the patent rights for Pfizer-BioNTech credit, payment would be settled in February 2023. The patent rights expires after 10 years expects to make use of this Vaccine patent for 5 years from now and then dispose of this patent rights. Exchange rate at the date of transactions was USD 1 = CHF 0,89 , at year end was USD 1 = CHF 0,99. Amortisation expenses would move to Admin expenses.
5/ A claim against UEL was promoted by a client in December 2022 asking damages for a total amount of CHF 0.5 million; management of the company judged that the loss in the claim is probable (more likely than not). The company appointed its lawyers in order to discuss the claim in front of the court. The lawyers of UEL prepare a document for the board of directors that summarizes the reasons of the company and estimates a probable transaction with the client will actually probably cost about CHF 0.3 million to UEL; but the document is completed in September 2023.
6/ On November 2022, UEL entered into a contract with loyal customer UEH to sell a goods package for CHF 200,000. The total contract price included selling goods A, services B and services C. Goods A, services V and C are distinct from each other, UEL usually sells A, B, C seperately in different contract. For general customers in the market, UEL could sell each of the goods and services alone with prices as follows: Goods A CHF 190,000, Service B CHF 20,000, and Services C - CHF 40,000. UEL completely transferred the control of goods package at the year end of 2022, however payments would not be received until March 2023. Cost of goods sold is totally CHF 100,000.
Write journal entries
Below in UEL unadjusted trial balance for the year ended December 31 , 2022Step by Step Solution
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