(a) Explain the following terms: a. Accrued expenses. b. Prepaid revenues. (b) Give examples for each of the above. (c) Elaborate on the accounting...
(a) Explain the following terms:
a. Accrued expenses.
b. Prepaid revenues.
(b) Give examples for each of the above.
(c) Elaborate on the accounting treatment for each of the above.
(d) Calculate for the following asset (i) the annual depreciation charges since it was acquired and (ii) the accumulated depreciation every accounting year until to 31st March 2015:
· Machine P : Purchased on 1st June 2010
· Machine Q : Purchased on 1st April 2011
· Machine R : Purchased on 1st January 2012
· Depreciation rate is 10% using reducing balance method.
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