Mr Mwambazi bought a photo copier worth K15, 000 for his business centre on hire purchase....

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Mr Mwambazi bought a photo copier worth K15, 000 for his business centre on hire purchase. The following are the details with regard to the transaction. • On 1st March 2009 the first installment was made worth K6, 000. • On 4th March 2009 the photo copier was delivered to his premises. The same day it started operating. • On 31st March 2009 the second installment of K3, 000 was paid. • On 30th April 2009 the third installment of K3, 000 was paid. • On 31st May 2009 the last installment of K3, 000 was paid. Required As an accountant can you please state the date on which you may record the transactions below in the books of accounts, both from the seller's point of view and the buyer's point of view taking into account the relevant accounting requirements necessary. 12 Marks Mr Mwambazi bought a photo copier worth K15, 000 for his business centre on hire purchase. The following are the details with regard to the transaction. • On 1st March 2009 the first installment was made worth K6, 000. • On 4th March 2009 the photo copier was delivered to his premises. The same day it started operating. • On 31st March 2009 the second installment of K3, 000 was paid. • On 30th April 2009 the third installment of K3, 000 was paid. • On 31st May 2009 the last installment of K3, 000 was paid. Required As an accountant can you please state the date on which you may record the transactions below in the books of accounts, both from the seller's point of view and the buyer's point of view taking into account the relevant accounting requirements necessary. 12 Marks

Answer rating: 100% (QA)

Certainly lets break down the transactions from both the sellers seller of the photocopier and the buyers Mr Mwambazi the business owner perspectives ... View the full answer