Question
The following balances, inter alia, appeared in the ledger of Viera Stores on 1 March 2015 Equipment R18 000 Accumulated depreciation on equipment R7 500
The following balances, inter alia, appeared in the ledger of Viera Stores on 1 March 2015
Equipment R18 000
Accumulated depreciation on equipment R7 500
Viera Stores provides for depreciation on equipment at 20% per annum on the diminishing balance. The following information is available in respect of a fax machine that was sold on credit to a trade debtor, C Ronaldo:
Date sold 30 November 2015
Cost price R2 000
Accumulated depreciation (1 March 20.5) R720
Financial year-end 28 February 2016
Selling price R1 000
Please help me answer the following homework question
- Prepare the entries in the General Journal to record the disposal of the asset on 30 November 2015
- Prepare the Asset Realization account in the general ledger.
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