Sam's Catering purchased a delivery vehicle of R150 000 on 1 June 2021 on credit. Sam...

   

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Sam's Catering purchased a delivery vehicle of R150 000 on 1 June 2021 on credit. Sam was advised that the residual value of this truck is estimated at R30 000. The diminishing depreciation method was adopted by Sam in utilising assets over five years. On 1 September 2021 Sam replaced equipment. The new equipment amounts to R45 000. The replaced equipment was purchased on 1 January 2018 for R30 000 and sold for R5 000. Sam uses the straight-line depreciation method over a period of four years to report on her equipment. Required: 3.1 3.2 Record the above transactions in Sam's Catering's records through general journals for the financial year ended 31 December 2021. (25) Disclose the property, plant and equipment note in the financial statements for the year ended 31 December 2021 (10) VERY IMPORTANT: for 3.2 FORMAT TO BE USED AS PER BELOW TEMPLATE Note 9 Property, plant and equipment Land R 250 000 Cost Accumulated depreciation Carrying amount: 1.1.19 Movements for the year. Additions at cost Disposals at carrying amt. Cost Accumulated depreciation Depreciation for the year Carrying amount:31.12.19 Cost Accumulated depreciation 250 000 250 000 250 000 ***** Buildings R 430 000 (34 400) 395 600 (8 600) 389 000 430 000 (43 000) Equipment R 300 000 (90 000) 210 000 40 000 (57 500) 192 500 340 000 (147 500) Vehicles R 210 000 (150 000) 60 000 280 000 (35 000) 210 000 (175 000) (60 000) 245 000 280 000 (35 000) Total 1 190 000 (274 400) 915 600 320 000 (35 000) 210 000 (175 000) (126 100) 1 074 500 1 300 000 (225 500) Sam's Catering purchased a delivery vehicle of R150 000 on 1 June 2021 on credit. Sam was advised that the residual value of this truck is estimated at R30 000. The diminishing depreciation method was adopted by Sam in utilising assets over five years. On 1 September 2021 Sam replaced equipment. The new equipment amounts to R45 000. The replaced equipment was purchased on 1 January 2018 for R30 000 and sold for R5 000. Sam uses the straight-line depreciation method over a period of four years to report on her equipment. Required: 3.1 3.2 Record the above transactions in Sam's Catering's records through general journals for the financial year ended 31 December 2021. (25) Disclose the property, plant and equipment note in the financial statements for the year ended 31 December 2021 (10) VERY IMPORTANT: for 3.2 FORMAT TO BE USED AS PER BELOW TEMPLATE Note 9 Property, plant and equipment Land R 250 000 Cost Accumulated depreciation Carrying amount: 1.1.19 Movements for the year. Additions at cost Disposals at carrying amt. Cost Accumulated depreciation Depreciation for the year Carrying amount:31.12.19 Cost Accumulated depreciation 250 000 250 000 250 000 ***** Buildings R 430 000 (34 400) 395 600 (8 600) 389 000 430 000 (43 000) Equipment R 300 000 (90 000) 210 000 40 000 (57 500) 192 500 340 000 (147 500) Vehicles R 210 000 (150 000) 60 000 280 000 (35 000) 210 000 (175 000) (60 000) 245 000 280 000 (35 000) Total 1 190 000 (274 400) 915 600 320 000 (35 000) 210 000 (175 000) (126 100) 1 074 500 1 300 000 (225 500)