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Problem 1: How does the journal entry looks like if a company sold something with less price than the expected value?
For example, company A bought a car for 100,000 and expected last for 3 years. The vehicle was expected to be sold for 10,000 after 3 years.
Actually company A sold the car 5 years after the purchase and for the price of 1,000
Problem 2: The remaining value of the car after 3 years should be 10,000 right?
Problem 3: How does the journal entry looks like for the sales transaction?
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You want to open up a custom skateboard shop. You can sell each skate-board for $160. It takes 3 hours to make each skateboard. Each skateboard maker earns $25 per hour. Each skateboard costs $15 in raw materials. What is the contribution margin? How..
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