Jupiter Ventures Ltd$.($Jupiter$)$ specialises in the production of high$-$end electronics and smart devices. The company's year$-$end is $30$ June.

You are presented with an extract of the final trial balance of Jupiter Ventures Ltd$.$ for the financial year ended $30$ June $2024$:

Account

Note

Debit$/($Credit$)($Rand$)$

Land $-$ cost

$1$

$2000000$

Headquarter building $-$ cost

$2$

$5000000$

Headquarter building $-$ accumulated depreciation

$2$

$(600000)$

Production line $-$ cost

$3$

$4000000$

Production line $-$ accumulated depreciation

$3$

$(1000000)$

Delivery drones $-$ cost

$4$

$2000000$

Delivery drones $-$ accumulated depreciation

$4$

$(360000)$

Computer equipment $-$ cost

$5$

$1000000$

Computer equipment $-$ accumulated depreciation

$5$

$(160000)$

The following information has not been accounted for and still needs to be recorded for the current financial year ending $30$ June $2024$:

Notes:

$1.$ Land

During the financial year that ended $30$ June $2024,$ an external appraisal of the land was conducted, indicating that the fair value of land had increased, resulting in a revaluation surplus. The land is owned by Jupiter Ventures Ltd$.$

The revaluation surplus amounted to R$450000,$ which has yet to be accounted for in the financial statements.

$7$ HFAC$132-1-$Jan$-$Jun$2024-$SA$1-$LVN$-$V$3-20240130$

$2.$ Headquarter building

The headquarter building was purchased for R$5000000$ on $30$ June $2020.$ The company has chosen to depreciate its buildings using the straight$-$line depreciation method over a period of $25$ years, with no residual value. There have been no additions or disposals of the headquarter building since its purchase.

$3.$ Production line

The current production line is depreciated using the straight$-$line depreciation method over a period of $8$ years, with no residual value.

New microchip manufacturing module:

On $1$ August $2023,$ the company integrated a new microchip manufacturing module for R$1500000.$ Installation costs amounted to R$50000.$ The project manager responsible for the installation received a monthly salary of R$40000.$ The module was ready for use on $1$ September $2023.$ Its useful life is $5$ years, with no residual value, and straight$-$line depreciation will be applied.

New advanced robotics system:

On $1$ January $2024,$ the company imported a new advanced robotics system from Germany for $20000,$ FOB destination point. The exchange rate that day was R$15\mathrm{.}50$: $1.$ The shipment arrived at Durban port on $1$ February $2024,$ and the exchange rate that day was R$14\mathrm{.}50$: $1.$ Additional costs of R$15000$ were spent on customs duties and transport. The robotics system was ready for use on $1$ March $2024.$ It has a useful life of $8$ years, with no residual value.

$4.$ Delivery drones

The company depreciates existing drones using the straight$-$line depreciation method over a period of $5$ years, with a residual value of $10\%$ on the total cost price.

On $1$ November $2023,$ Jupiter Ventures Ltd$.$ integrated a new long$-$range delivery drone into its fleet for R$350000.$ This drone has a useful life of $5$ years and a residual value of R$35000.$ This delivery drone was ready for use on $1$ November $2023.$

$8$ HFAC$132-1-$Jan$-$Jun$2024-$SA$1-$LVN$-$V$3-20240130$

$5.$ Computer Equipment

The current computer equipment is depreciated using the diminishing balance method at a rate of $20\%$ per year, with a residual value of R$100000.$

On $1$ April $2024,$ the company upgraded its servers with new hardware costing R$660000.$ It had a residual value of $15\%$ of the cost and was ready for use the same day. This hardware is depreciated using the diminishing balance method at a rate of $20\%$ per year. The hardware was ready for use on $1$ April $2024.$

Additional information:

$$ Ignore VAT.

$$ The company has credit terms established with all of its suppliers and purchases all assets exclusively on credit.

REQUIRED:

Prepare the reconciliation note for property, plant, and equipment, as at $30$ June $2024,$ focusing specifically on the categories for:

$$ Land;

$$ Headquarter building;

$$ Production line

$$ Delivery drones

$$ Computer equipment

Remember to include and reference all your workings appropriately.

Round off to the nearest Rand.

Total columns are not required.