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hi please help Rain Limited is a company with a 31 December year-end. The following information relates to assets owned by the company: Rain Limited
hi please help
Rain Limited is a company with a 31 December year-end. The following information relates to assets owned by the company: Rain Limited had machinery with a cost price of R2 500000 that they acquired on 1 August 2020. 25\% of the machinery purchased on 1 August 2020 was disposed of on 30 November 2021. Machinery to the value of R550 000 was purchased on 1 February 2022. These were the only disposals and acquisitions of machinery for the 2021 and 2022 financial years. Rain Limited also owns a building with a cost price of R20 000000 that they acquired on 30 June 2021. No disposals or acquisitions of buildings occurred during the 2021 and 2022 financial years. The following relates to these assets: The annual revaluation of the building is done on 31 December and the accumulated depreciation is set off against the gross carrying amounts. Rain Limited transfers the revaluation surplus once the related asset is disposed of. The building had a net replacement cost, as determined by XYZ Valuers Proprietary Limited, of R20 500000 on 31 December 2021 and R21 200000 on 31 December 2022. None of the property, plant and equipment items is considered to have a residual value, and the useful lives and residual values are reviewed annually and remained unchanged. Ignore all tax implications. Prepare an extract from the Statement of Financial Position, including ALL the relevant notes, of Rain Limited for the financial year ending 31 December 2022. Include comparative figures and show all calculationsStep by Step Solution
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