Delta Inc. Date: 30 April 2024Details:Raw material inventory (metal):Cost: £40,000Replacement cost: £38,000Finished goods inventory:ProductLambdaKappaDirect costs£80,000£55,000Proportion of...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Delta Inc.
Date: 30 April 2024
Details:
- Raw material inventory (metal):
- Cost: £40,000
- Replacement cost: £38,000
- Finished goods inventory:
Product | Lambda | Kappa |
Direct costs | £80,000 | £55,000 |
Proportion of fixed overhead | £15,000 | £12,000 |
Proportion of selling costs | £4,000 | £3,000 |
Net realizable value | £120,000 | £70,000 |
- Vehicles:
Purchased on 1 May 2020 for £400,000, depreciated over 10 years with no residual value. Reducing balance method is used. - Buildings:
Acquired 20 years ago for £1,200,000, land value estimated at £300,000. Buildings are depreciated over 60 years. - Research and development:
- Research costs: £30,000
- Development costs: £40,000, benefiting over 4 years.
Required:
Prepare the journal entries to reflect the above adjustments in the books of Delta Inc. for the year ending 30 April 2024.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.