Calculate the maintenance service income

Assignment Help Accounting Basics
Reference no: EM133133526

Question - Joyce Lim has the following transactions in February 2022.

1/2/2022 Joyce Lim started a business with $450,000 and deposited the amount in the bank.

5/2/2022 Office equipment purchased on credit from City Chain for $35,000.

9/2/2022 Inventory was purchased on credit from Victoria Ltd for $25,000.

11/2/2022 Paid $19,000 for office rental by cheque.

15/2/2022 Cash sales of $89,000.

19/2/2022 Cash purchased of inventory for $50,000.

21/2/2022 The company settled the total outstanding amount due to City Chain.

22/2/2022 Provided credit sales of $110,000 to Johnson Pte Ltd.

25/2/2022 Paid $300in Cash for the staff dinner expense.

26/2/2022 Joyce Lim withdrew $3,800 from the bank for personal expenses.

27/2/2022 Johnson Pte Ltd settled the total amount of $110,000.

28/2/2022 Paid $35,600 staff salary by cheque.

Required -

1. Prepare journal entries for the above transactions. You are not required to provide any narration for the journal entries.

2. You are required to classify the following transactions as revenue expenditure or capital expenditure.

1. Payment for entertainment expenses.

2. Payment of bank interest expense.

3. Purchase eight units of laptops for the sales department.

4. Payment of monthlyoffice maintenance.

3. Maxwell company is in the factory maintenance services business, and the financial year ended is 28 February 2022. Bugis Pte Ltd has engaged Maxwell maintenance service for one year and paid $450,000starting from 1 August 2021.

Calculate the maintenance service income that Maxwell should record in the income statement for the year ended 28 February 2022.

4. Identify and explain three differences between ordinary share and preference share.

Reference no: EM133133526

Questions Cloud

How would you maximize revenue : Suppose you are running a factory, producing anvils that requires steel as a raw material. Your costs are predominantly human labor (h), which is $20 per hour f
Initiative with a transformative equity approach : How could we reimagine that initiative with a transformative equity approach?
Ben franklin version of opportunity cost : What was Ben Franklin's version of opportunity cost? Do you have a favorite activity (like the football fans did in the video) on which you place a very high do
How do features fit into an industrial organization : The smartphone market has been dominated by Apple, but recently the Droid has been able to leverage Google's information services into the market gains while Bl
Calculate the maintenance service income : Calculate the maintenance service income that Maxwell should record in the income statement for the year ended 28 February 2022
Principle of consumer sovereignty : In a free market system, how are incentives related to the principle of consumer sovereignty?
Children''s adjustment and adjustment of their parents : Describe three things you plan to do in your preschool classroom to support new children's adjustment and the adjustment of their parents,
What is the range of equilibrium prices : There are three factories in a town, all of which ermit 5 tons of pollution. They could reduce their emission but with a cost. The table bellow show the margina
Prepare a production and direct labour budget : Prepare a production and direct labour budget to assist with estimating the cost of goods sold and the required income that should be achieved

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd