Journal entries for the following as at 30 September A delivery truck was...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Journal entries for the following as at 30 September
A delivery truck was purchased on 1 July 2017 for $45,000. It has a useful life of 5 years and a residual value of $5,000.
Office equipment was purchased on 1 October 2017 for $25,200. It has a useful life of 7 years and a residual value of $Nil. No depreciation expenses have been charged in the current (2020) financial year. Round calculations to the nearest Dollar.
Bank Loan
The business has an interest-only loan with Virtual Bank. The interest rate is 7.5% pa and no principal payments are due until 30 June 2026. Interest is payable monthly and no interest has been accounted for this financial year.
Prepaid Rent / Insurance
On 30 June 2019, rent for the store of $26,500 (excluding GST) was paid for 6 months to 31 December 2019. No adjustment has been made for rent expenses for this financial year.
The annual Insurance premium of $33,500 was paid on 30 June 2019 and was all allocated to the Insurance Expense.
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
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.