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Question - On 1 January 2018, financial assets were $40,000 of which shares valued at $10,000 and the remainder are currency and deposits. Short term and long-term liabilities were $4000 and $6000, respectively. Suppose households conducted the following transactions in 2018
-Spends $35,000 on consumption
-Receives $37,000 in wages and salaries
-Sells $6,500 worth of shares
-Repays $1,500 short-term and $2,500 long-term loans. In addition, the value of shares increased by 10% and households received $1500 worth of food voucher.
Required - Determine the household balance sheet as at 31 Dec 2018 and it revaluation account for 2018.
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Jan. 1 Retired a piece of machinery that was purchased on January 1, 2000.The machine cost $62,000 on that date. It had a useful life of 10 years with no salvage value.
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