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How would I solve this Financial Statements exercise? Could you please explain this step-by-step as I am having a hard time understanding how this exercise
How would I solve this Financial Statements exercise? Could you please explain this step-by-step as I am having a hard time understanding how this exercise works.
Register following transactions for January: Jan 3rd We receive an invoice regarding cleaning of the office, 369,-, inc VAT 24% Jan 4 th We buy goods (to be sold further) from Ladders Corporation and receive an invoice 4100 ,- inc VAT 24%, payment terms 7 days 2%,14 days net Jan 4th A payment from a customer, invoice sent last month 1800,- Jan 5 th We receive an electricity invoice, 980 ,- inc VAT 24% Jan 5 th We buy a plece of machinery to be used in the warehouse 5950 ,- inc VAT.24\% ( to be used >5 years) Jan 6 th We receive an invoice ragarding rent on premises for January and February 1020,-, inc VAT Jan 7 th We sell and send an invoice 10900 ,- inc VAT 14%. Jan 10th Pay the invoice to Ladders Corporation ( see Jan 4th) Jan 12th Pay tax account creditors 2990,-- Jan 15th Payment of salaries, gross salaries 4980,-, PAYE/withholding tax 20\%,-, Pension fee 7,15\% ja unemployment insurance fee 1,5\%. Register pension fee in total 25,3%, unemployment insurance fee total 2,02% and social security payment 1,53%, too. Jan 18 th We sell products to our customer and send an invoice 14020,, inc VAT 24% Jan 27 th Pay the invoice regarding cleaning of the office, received on January 3 rd. Jan 28th We pay income tax in advance 1820,- Jan 29th Customer pays an invoice sent by us on January 7 th Jan 30th We receive an invoice regarding an entertainment event (theatre tickets) organized for our customers 320,- (inc VAT, but it is not deductible) Jan 30th We pay an invoice received last month 3950 ,- Jan 31 th Record/register and pay an invoice regardind group life insurance fee 60,- Jan 31th Transfer employees' witholding tax (PAYE) and social security payment liabilities related to January salaries to the account Tax account creditors Interim financial statements 31.1 .2023 Depreciation of machinery and equipment, 25% on yearly basis, so now 1 month) Value of inventory 10000,. Interest income for January not registered yet, adjust with 90,- Adjust rent paid in advance for February. We have to repay bankloan 3000 ,- during the following 12 months. Register VAT for January (create new tax retum- save- approve)Step by Step Solution
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