Question
*******Please do it AS soon as possible******** Sparkles and Pearls Pty Ltd manufactures custom gemstone jewellery. Presented below are selected transactions of Sparkles and Pearls
*******Please do it AS soon as possible********
Sparkles and Pearls Pty Ltd manufactures custom gemstone jewellery. Presented below are selected transactions of Sparkles and Pearls Pty Ltd for the year ending 31/12/2021
1/1/2021 | Scrapped machinery that was purchased on 1 January 2010. The machine cost $220,000 and had a useful life of 10 years with no residual value |
31/03/2021 | Sold a buffing machine for $17,000 cash, that was purchased on 1 January 2014. The buffing machine cost $48,000 and was depreciated based on a 10-year useful life with a $6,000 residual value |
30/06/2021 | Sold a computer that was purchased on 1 January 2016. The computer cost $64,000, had a useful life of 8 years with no residual value. The computer was sold for $30,000 |
31/10/2021 | Cash purchase of a Photocopier for the office. Purchase price was $12,000 with a useful life of 5 years and no residual value |
Required:
Prepare the journal entries to record the above transactions for Sparkles and Pearls Pty Ltd, which has a financial year end of 31 December and uses the straight-line method of depreciation.
IGNORE GST and Narrations are NOT required
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