Kerevei Ltd leases a machine for making dog crates from the Rennie bank on 1 july 2020. The lease if for 4 years, payment in advance and the initial lease payment of $80,000 is required at the inception and four payments of $80,000 are required in subsequent years and payable 30 june. The implicit interest rate in the
Kerevei Ltd leases a machine for making dog crates from the Rennie bank on 1 july 2020. The lease if for 4 years, payment in advance and the initial lease payment of $80,000 is required at the inception and four payments of $80,000 are required in subsequent years and payable 30 june. The implicit interest rate in the
Kerevei Ltd leases a machine for making dog crates from the Rennie bank on 1 july 2020. The lease if for 4 years, payment in advance and the initial lease payment of $80,000 is required at the inception and four payments of $80,000 are required in subsequent years and payable 30 june. The implicit interest rate in the
Kerevei Ltd leases a machine for making dog crates from the Rennie bank on 1 july 2020. The lease if for 4 years, payment in advance and the initial lease payment of $80,000 is required at the inception and four payments of $80,000 are required in subsequent years and payable 30 june. The implicit interest rate in the lease is 8% p.a. at the end of the lease kerevi retains the machine which has a useful life of 10 years with a salvage value of $80,000. Unfortunately during the year ended 30 june 2022 there is less dog travel and there is a fall in the demand for dog crates. At this time the recoverable amount of the machine is determined to be $180,000. The useful life is now only 5 years and a salvage value of $40,000 is estimated. Kerevi has a 30 june year end. Required. Record the necessary journal entries for Kerevi on the following dates. 1) 1 July 2020 2) 30 June 2021 3) 30 June 2022 Thank you ?.
Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.
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