Fac1502 Assessment 3 - Accounting Questions
WITH 100% Solutions
1 of 35
, Question 1
Not yet
answered The following information was extracted from the accounting records of Lele Plastics:
Marked out of
5.00
Balances at 1 April 20.19 R
Equipment: Cost 80 000
Accumulated depreciation: Equipment (36 000)
Additional information
At the beginning of the financial year, 1 April 20.19, Lele Plastics replaced its plastic shredding
equipment with new glass recycling equipment that had a purchase price of R56 000. The replaced
plastic shredding machine was sold on credit for R39 800, it was the only piece of equipment in the
books of Lele Plastics prior to the purchase of the new glass recycling equipment. Depreciation is
provided at 10% p.a. on the straight-line method.
Assuming the plastic shredding equipment was sold at a loss of R4 200, the effect of the transaction on the
accounting equation will be:
Instructions:
Drag the correct answer into the correct
space. An option can be used more than
once.
If an options has been provided and it is not applicable to the specific questions please put N/A in
the accounts column and a 0 in the amounts column.
2 of 35
, Equipment Loss on sale of asset 0 N/A
-80 000 -4 200
+36 000 Accumulated depreciation
+39 800 Trade receivables control
Trade payables control Trade receivables control Bank Loss on sale of asset
Accumulated depreciation Depreciation Equipment N/A
+8 000-36 000+80 000+4 200+39 800-8 000 -39 800-80 000 -4 200 0 +36 000
3 of 35
, Indicate whether the following statement is true or false:
The cost price of machinery is shown under current assets in the statement of financial position as part
of property, plant and equipment.
Question
Select
one: True
False
2
4 of 35
WITH 100% Solutions
1 of 35
, Question 1
Not yet
answered The following information was extracted from the accounting records of Lele Plastics:
Marked out of
5.00
Balances at 1 April 20.19 R
Equipment: Cost 80 000
Accumulated depreciation: Equipment (36 000)
Additional information
At the beginning of the financial year, 1 April 20.19, Lele Plastics replaced its plastic shredding
equipment with new glass recycling equipment that had a purchase price of R56 000. The replaced
plastic shredding machine was sold on credit for R39 800, it was the only piece of equipment in the
books of Lele Plastics prior to the purchase of the new glass recycling equipment. Depreciation is
provided at 10% p.a. on the straight-line method.
Assuming the plastic shredding equipment was sold at a loss of R4 200, the effect of the transaction on the
accounting equation will be:
Instructions:
Drag the correct answer into the correct
space. An option can be used more than
once.
If an options has been provided and it is not applicable to the specific questions please put N/A in
the accounts column and a 0 in the amounts column.
2 of 35
, Equipment Loss on sale of asset 0 N/A
-80 000 -4 200
+36 000 Accumulated depreciation
+39 800 Trade receivables control
Trade payables control Trade receivables control Bank Loss on sale of asset
Accumulated depreciation Depreciation Equipment N/A
+8 000-36 000+80 000+4 200+39 800-8 000 -39 800-80 000 -4 200 0 +36 000
3 of 35
, Indicate whether the following statement is true or false:
The cost price of machinery is shown under current assets in the statement of financial position as part
of property, plant and equipment.
Question
Select
one: True
False
2
4 of 35
