Question $1$

Arthur Bucco decided to open Vesuvio Italian Restaurant in Hobart, Tasmania on the $1^{st}$ of June $2023.$

Arthur contributed inventory valued at $$15,000,$ restaurant equipment valued at $$30,000$ and a POS system valued at $$6,500.$ He also deposited $$20,000$ into the business bank account. On the $1^{st}$ of June $2023$ the business took out a loan for $$65,000$ from a local bank with a fixed rate of interest of $12\%$ per annum. Monthly repayments of $$1,300$ are due on the ${15}^{th}$ of every month.

The restaurant equipment had a useful life of $10$ years and a residual value of $$6,000$; and the POS system had a useful life of $5$ years and a residual value of $$200.$ Both assets are depreciated using the straight$-$line method of depreciation.

You are working at an accounting firm in Hobart that assists Arthur with bookkeeping and business advisory services. Your accounting firm has given you the responsibility to record Arthur's business transactions and provide him with business advice if required. Below are the transactions that occurred during June:

June $1$ Took a five$-$year lease on a vacant shop to open the restaurant and paid the first $3$ months of rent $-$ $$12,000.$

$4$ Arthur purchased packaging supplies on credit for $$3,500.$

$6$ Arthur withdrew $$200$ for personal use.

$7$ Takings for the first week of trading were $$12,800($all received in cash$/$EFT$).$ The cost of the inventory used was $$4,800.$

$11$ Engaged a chef, Ralph, at an agreed wage of $$1,200$ per week.

$14$ Takings for the second week of trading were $$16,300($all received in cash$/$EFT$).$ The cost of the inventory used was $$4,800.$

$15$ Paid the monthly payment off the business loan.

$16$ Packaging supplies purchased for $$850$ on credit.

$18$ Paid weekly wages to Ralph.

$21$ Takings for the third week of trading were $$18,500($all received in cash$/$EFT$).$ The cost of the inventory used was $$6,200.$

$23$ Purchased inventory for $$12,000$ cash.

$24$ Petrol expenses paid of $$125.$

$25$ Paid weekly wages to Ralph.

$28$ Takings for the fourth week of trading were $$17,500($all received in cash$/$EFT$).$ The cost of the inventory used was $$5,700.$

$30$ Packaging supplies remaining $$985.$

Continued $...$