Question
Rentzel Ltd. owns all the share capital of Grindel Ltd. In relation to the following intragroup transactions, prepare adjusting journal entries for the group for
Rentzel Ltd. owns all the share capital of Grindel Ltd. In relation to the following intragroup transactions, prepare adjusting journal entries for the group for each of the following transactions. Fiscal years start on July 1st in each year and end on June 30th of each following year. The tax rate equals 30%.
On July 1st, 2017 Rentzel Ltd. sold equipment to Grindel Ltd. for HK$ 110,000. Rentzel Ltd. recorded a profit of HK$ 10,000. Equipment has a remaining useful life of ten years.
Prepare journal entry(ies) for June 30th, 2018. (Ignore previous entry(ies) made!)
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Prepare journal entry(ies) for June 30th, 2019.
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Understanding And Auditing IT Systems Volume 2
Authors: Young-Woon Min
2nd Edition
1257758837, 978-1257758838
