Purchase of machine Momay Ltd ordered a new machine on 20 September 2021 and paid a deposit of £10,000 on 2 November 2021. The machine was dispatched on 23 December 2021 and an invoice was issued by the supplier on 3 January 2022. Due to cash flow difficulties, Momay Ltd did not pay the balance of the invoice of £40,000 until 3 April 2022.

Purchase of machine Momay Ltd ordered a new machine on 20 September 2021 and paid a deposit of £10,000 on 2 November 2021. The machine was dispatched on 23 December 2021 and an invoice was issued by the supplier on 3 January 2022. Due to cash flow difficulties, Momay Ltd did not pay the balance of the invoice of £40,000 until 3 April 2022.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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