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hello can someone help please thanks in advance! b) Beck's accounting records show the following: Trade receivables at 31 July 2021 were 55,000 and trade

hello
can someone help please
thanks in advance!

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b) Beck's accounting records show the following: Trade receivables at 31 July 2021 were 55,000 and trade receivables at 31 July 2022 were 45,000. For the financial year ended 31 July 2022: Cash received from receivables was 500,000, credit notes issued by Beck were 35,000 and bad debts written off were 6,000. Purchases for the year ended 31 July 2022 were 430,000. Inventory at 31 July 2021 and 31 July 2022 were 60,000 and 45,000 respectively, valued at selling price. Beck marks up its goods at 20 per cent. Required: i) Calculate sales revenue for Beck for the year ended 31 July 2022. (3 marks) ii) Calculate the cost of the inventory for Beck at 31 July 2021 and at 31 July 2022. (3 marks) iii) Calculate the gross profit for Beck for the year ended 31 July 2022. (2 marks) (Total 8 marks) c) Diaz plc is assessing an investment project to replace some of its machinery. The costs on 1 January 2024 will be 900,000. The expected economic life of the machinery is 5 years, commencing in 2024. Diaz depreciates its machinery using the straight-line method. Diaz expects to sell the machinery for 150,000 at the end of economic life. The investment project will reduce costs in each year by 200,000. Consultants were used to calculate the reduction in annual costs and 5,000 has already been paid for this consultancy work. Diaz's finance director uses a 6% interest rate when making investment decisions. Required: i) Calculate the net present value (NPV) of the investment project. Using the NPV result, advise Diaz plc whether the project should go ahead. (4 marks) ii) Explain the meaning of the following terms as they are used in investment appraisal: Relevant cost Discount rate Use examples from Diaz plc in i) in your explanations. (4 marks)

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