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Kedai Kereta Lama is a business that deals with the trading of used motor vehicles in Jasin, Melaka. The business is using a perpetual inventory
Kedai Kereta Lama is a business that deals with the trading of used motor vehicles in Jasin, Melaka. The business is using a perpetual inventory system in accounting for its inventory of second-hand motor vehicles. As at 1 August 2021, the business had the following inventory of motor vehicles: Model of motor vehicles Datsun 160J Mitsubishi Lancer Honda Civic Proton Saga Year of registration 1978 1982 1977 1986 Cost of purchase (RM) 2,000 1,800 1,750 2,200 The business had the following transactions during the month of August 2021: Date Transactions Sold the 1982 Mitsubishi Lancer to Encik Munim for RM5,500 on credit. August 2 4 Purchased a 1965 Volkswagen at a price of RM1,500 on credit from Encik Jepri. 5 Acquired a 1980 Toyota Corolla at the cost of RM3,000 from Syarikat Motolaju. Payment was made by cheque. 6 Paid RM300 cash of transportation cost for towing the 1980 Toyota Corolla from the seller's premise in Tampin, Negeri Sembilan to business premise. Received RM5,000 cheque for selling the 1965 Volkswagen to Encik Supian, which was purchased on August 4. 18 20 The 1965 Volkswagen was returned by Encik Supian to the business due to engine failure. The business immediately issued a cheque for a full refund to Encik Supian. 22 Purchased a 1975 Nissan Bluebird at a price of RM5,000 from Encik Ihsan on credit. Requirement: Journalize the above transactions. Narrations are not required for the journal entries. (10 MARKS)
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