Question
June 17 sold ex hire equipment to Randall Smith for $655.00 including GST. His cheque for this amount was banked today. This equipment originally cost
June 17 sold ex hire equipment to Randall Smith for $655.00 including GST. His cheque for this amount was banked today. This equipment originally cost $785.00, but was written down to $322.00 at the date of sale. Calculate and journalize the profit on the sale.
Cash receipts hournal
| Date | Acount |
| Debit | Credit | ||||||
| Post Ref | Bank account | Discount given | GST collected | Hire service income | Lesson income | Account receivable | GST collected | other | ||
| 17 | Hire equipment(cost) | 170 | 655 |
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| 59.55 | 595.45 |
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Question: how to fill the blank in general journal fellow and give explanation
| General journal | |||||
| Date | Description | Post Ref | Debit | Credit | |
| June | 17 | Accumulated depreciation-hire equipment | 171 | 463.00 |
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| Hire equipment(cost) | 170 |
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| Profit on sale of PPE | 440 |
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| (Transfer profit on sale of ex hire equipment to Randall smith) | |||
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Managerial Accounting
Authors: Ray Garrison, Eric Noreen, Peter Brewer
16th edition
1259307417, 978-1260153132, 1260153134, 978-1259307416
