Kappa Inc.
 Date: 28 February 2024

Details:

1. Raw material inventory (rubber):
   • Cost: £25,000
   • Replacement cost: £27,000
2. Finished goods inventory:

Product	Tau	Upsilon
Direct costs	£65,000	£55,000
Proportion of fixed overhead	£13,000	£12,000
Proportion of selling costs	£4,000	£3,500
Net realizable value	£95,000	£70,000

3. Vehicles:
    Acquired on 1 March 2020 for £300,000, depreciated over 7 years using the straight-line method with no residual value.
4. Buildings:
    Acquired 22 years ago for £1,800,000, land value estimated at £400,000. Buildings are depreciated over 45 years.
5. Research and development:
   • Research costs: £45,000
   • Development costs: £55,000, benefiting over 5 years.

Required:
 Prepare the necessary ledger entries for Kappa Inc. reflecting these transactions as of 28 February 2024.