MNO Ltd leases an asset as a lessee. The lease agreement is for 6 years. Lease instalments of R145545 made at the beginning of the period and interest is 996. The commencement of the lease is 1 April 2021. Asset is depreciated over 4 years. The tax rate is 28%. Lease payments are allowed as a deduction when oald. Profit before tax is R600 000. Journalise the transactions for the year wnded 31 december 2021
MNO Ltd leases an asset as a lessee. The lease agreement is for 6 years. Lease instalments of R145545 made at the beginning of the period and interest is 996. The commencement of the lease is 1 April 2021. Asset is depreciated over 4 years. The tax rate is 28%. Lease payments are allowed as a deduction when oald. Profit before tax is R600 000. Journalise the transactions for the year wnded 31 december 2021
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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answer in text form please (without image), Note: .Every entry should have narration please
Transcribed Image Text:MNO Ltd leases an asset as a lessee. The lease agreement is for 6 years. Lease instalments of R145545 made at the beginning of the period and interest is 9%. The commencement of the lease is 1 April 2021. Asset is depreciated over 4 years.
The tax rate is 28%. Lease payments are allowed as a deduction when oaid. Profit before tax is R600 000. Journalise the transactions for the year wnded 31 december 2021
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