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Cavemen Company provided you with the following information relating to a purchase transaction of one of their vehicles. The financial year-end of Cavemen Company

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Cavemen Company provided you with the following information relating to a purchase transaction of one of their vehicles. The financial year-end of Cavemen Company is 31 December. Depreciation on vehicles is calculated at 20% per annum according to the reducing balance method. Transaction for the financial year ended 31 December 2014: On 1 November 2014 Cavemen Company purchased a delivery vehicle at a cost of R300 000 paying 30% in cash and financing the remaining balance with a 15%, ten-month note payable. The vehicle has a current estimated residual value of R0. Transaction for the financial year ended 31 December 2015: On 31 August 2015 Cavemen Company repaid the 15%, ten-month note payable. REQUIRED: Record all the necessary transactions in the general journal of Cavemen Company for the financial year ended: 1. 31 December 2014 2. 31 December 2015

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