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Question - Adam Smith was responsible for managing his brother's Coffee Shop for 2 months while his brother went on holidays. Unfortunately, his brother did not budget very well for the weekly beverage supply and Adam was, every week, short of beverages. In order to solve the last minute beverage shortages Adam made weekly purchases in the local supermarket. Adam paid for the goods on his credit card and did not bother keeping the invoices. According to this scenario explain:
a. What are the legal implications/record keeping requirements that were not met by Adam?
b. What techniques would you suggest to the owner of the coffee shop to improve the budgeting accuracy for purchases of beverage stock?
A house that you live in and bought 20 years ago for $150,000. What is the parallel asset that a company might have
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The composite depreciation method:
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Calculate the price of an 8% annual coupon (paid semiannually), 2-year, $1,000 par valued bond if the current annual market interest rate is 8%.
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Assume that the ending inventory of a merchandising firm is overstated by $40,000. By how much and in what direction (overstated of understated) will the firm's cost of goods sold be misstated? If this error is not corrected, what effect will it have..
Write up the Provision for depreciation on motor vehicles account and Motor vehicle at cost account ledger accounts as on 31/12/2017.
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