QUESTION 1 S Petersen and Son purchased equipment costing R50 000 and office furniture costing R6 000 on 1 January 2018. When preparing their income statement for the year ending 31 December 2018 , they decided to depreciate their equipment by 20% and their office furniture by 10% per annum straight-line. You are required to: Draft the necessary entries in their journal. QUESTION 2 Black, White and Grey are partners, sharing profits and losses in the proportion of 3:2:1. By the terms of the partnership agreement interest on capital is allowed at 10% per annum and Grey is entitled to a salary of R6 000 per annum. On 1 January 2018 the capital accounts show the following credit balances: - Black R100 000 - White R80 000 - Grey R40 000 The current accounts show credit balances brought forward: - Black R2 000 - White R800 - Grey R200 In the previous year White had advanced the sum of R10 000 to the enterprise, on which he is to recelve 10% per annum until repaid. The net profit for the year before charging interest on capital, or Grey's salary, amounts to R30 400 . The following drawings have been made during the year: - Black R12 400 - White R10 000 - Grey R11 000 You are required to: Prepare the appropriation account. Financlal Accounting 1 QUESTION 3 There are five main disadvantages of single-entry bookkeeping. List all five disadvantages and provide a brief explanation of each