13. On 1 August 2010 Ed decided to get some short term insurance cover for the gym and paid an annual 12 month premium for comprehensive cover from OUTsurance for R24 000 in cash. This cover would last until 31 July 2011. 14. During November 2010 Ed decided to expand a new section of the gym that would include a hi-tech Spinning studio. Ed commissioned a specialist company to fit the studio with spinning equipment during November 2010 at a total cost of R400 000. The spinning studio opened on 1 December 2010. Ed negotiated a deferred payment plan with the supplier for the equipment whereby 50% of the fee was payable on opening and the remaining 50% payable after a period of 6 months. There was no interest payable on the balance. 15. The spinning equipment is expected to last for 4 years. 16. On 1 February 2011. an invoice of R75 000 was received from 702 Radio for an advertising campaign run during the month. It will only be paid on 31 March 2011. 17. On 28 February 2011. Ed paid company tax to SARS based on the provisional assessment. The cash payment was made by eFiling to SARS for R105 000. 18. Ed and his fellow shareholders decided to pay out a total cash dividend of R100 000 after a successful first year in business