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Shelly Ltd pays its salaries fortnightly in arrears. The next pay day is Thursday 2 July. The fortnightly salary is $30 000, of which $10 000 is retained to pay the ATO on behalf of the employees. Payments to the ATO are made every second Monday, with the next payment being made on Monday 6 July. Shelly Ltd's reporting date is 30 June.
Problem 1: Provide the journal entries in the books of Shelly Ltd for:
A) 30 June
B) 2 July
C) 6 July
Calculate the present value in ten years of $2,000 received today if your investments pay - What is the relationship between present values and interest rates
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