Have you memorised the General Journal Entries yet?
Here's a question from CPAP 2013:
On 30th Sep, owner decided to replace a business Vehicle. This Vehicle had an historical cost of $30,000 and a carrying value of $8000. The Vehicle was sold for $5000 cash (Rec X82).
A new vehicle was purchased on credit from Keilor Motos (Inv KM5). The details of this purchase were as follows:
[GST is applied where appropriate]
- Invoice price: $42000
- Delivery: $500
- Modification: $2,500
- Annual Rego and Insurace: $1000
- Credit terms 1/90, n/180
a) Record: Receipt X82 and Invoice KM5 in appropriate journals
b) Show how the following General Ledger accounts would appear after the transaction: Disposal of Motor Vehicle and GST Clearing
(I don't know the General Journal entries)
Thanks heaps!