Mikes Photo Shop (Pty) bought property which consists of a piece of land and a warehouse and transferred the funds the same day. The original cost of the land was N$2 000 000 while the factory was built for N$800 000 and ready for use on 1st Aug 2020. Property is subjected to a depreciation charge of ten percent per annum.

The environmental regulations according to City of Windhoek require the building to be dismantled after ten years. It is estimated that this will cost the company an amount of N$500 000. Cost of capital is 9.5%.

2. Debentures worth, N$45 850 were purchased on 1 January 2020 from Trustco Namibia and paid immediately. The interest rate is 8.5% per annum.

3. Received N$8 000 from a receivable: Eros Primary School whose account had been written off as irrecoverable.

4. Write off the account of a receivable: Mr Price, N$2 000 as irrecoverable.

5. A vehicle worth N$69 000, VAT inclusive was purchased on 1st Oct 2020 on credit from Indongo Toyota (IND001). No entries in respect of this vehicle have been taken into account in the books of Mikes Photo Shop (Pty) Ltd

6. A sales invoice to Toivo Enterprises to the value of N$8 500 was not recorded in the books of

7. Cash drawings by Mr Mike N$2 170 were treated as cash purchases in error.

8. A payment of N$2 350 to a supplier Easy Printers was incorrectly processed on supplier Fast Printers account.

9. The company auditors discovered an amount of N$15 400 for audit fees incorrectly entered on the credit side of the discount received account.

10. The Receiver of Revenue determined the company income tax for the year to be N$48 000, payable in the next month.

11. The allowances for irrecoverable debts was pegged at N$15 000 at year-end.

12. Provide the necessary adjustment for interest on financial assets and financial liabilities in the financial period and depreciation on all non-current assets at year-end.

PREPARE GENERAL JOURNAL FOR THE ABOVE