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On 24 October 2015 , Sammy Sdn Bhd, a retailer of office equipments placed an order for 200 units of computers and 500 units of
On 24 October 2015 , Sammy Sdn Bhd, a retailer of office equipments placed an order for 200 units of computers and 500 units of printers, from a supplier Equip Bhd. The merchandise was delivered to Sammy Sdn Bhd on 13 November 2015. The list price of computer was RM1,100 per unit, and of printer was RM120 per unit. Because Sammy Sdn Bhd was a regular customer, Equip Bhd gave a trade discount of 5% and the merchandise was invoiced with a credit term of 4/10 net 30 . At reporting date, 31 December 2015 , Sammy Sdn Bhd has unpaid salaries for December 2015 amounting to RM10,000. a) Can this unpaid salaries be a liability? b) If so, can the liability be recognised? c) How is it classified? Why? d) Journal entries to account for the initial recognition and measurement
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