lOMoAR cPSD| 48011787
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, lOMoAR cPSD| 48011787
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Question 1 of 20 3 Points
The pre-adjustment trial balance of PMT Traders as at 28 February 2019, reflected the
following balances:
Trading inventory R9 770
Office supplies R1 121
Cleaning material R740
Packaging material R2 670
A physical inventory count conducted at year-end, revealed the following inventory were
on hand:
Trading inventory, R9 560
Office supplies, R230
Cleaning material, R121
Packaging material, R926
No adjustment journal entries have been processed as yet in the accounting books of PMT
Traders regarding the inventory count.
Consumable stores increase the value of Inventory(asset) they reduce the value of expenses
and increase profit (equity)
The effect that the adjustment journal entries for consumables stores on hand will have on
the basic accounting equation of PNT Traders for the year ended 28 February 2019 will be
…?
A. Assets will increase by R1 277; equity will increase by R1 277 and liabilities will not be
affected.
B. Assets will increase by R1 047; equity will decrease by R1 047 and liabilities will not
be affected.
C. Assets will decrease by R1 487; equity will decrease by R1 487 and liabilities will not
beaffected.
D. Assets will not be affected; equity will increase by R1 047 and liabilities will decrease
by R1 047.
E. Assets will increase by R1 487; equity will increase by R1 487 and liabilities will not be
affected.
Question 2 of 20 3 Points
MIYOLA TRADERS
Notes to the financial statements for the financial year ended 30 June 2020
Property, plant and equipment
Carrying amount: Beginning of the year Vehicles
Downloaded by Vincent kyalo ()
1
Downloaded by Vincent kyalo
()
, lOMoAR cPSD| 48011787
2
Question 1 of 20 3 Points
The pre-adjustment trial balance of PMT Traders as at 28 February 2019, reflected the
following balances:
Trading inventory R9 770
Office supplies R1 121
Cleaning material R740
Packaging material R2 670
A physical inventory count conducted at year-end, revealed the following inventory were
on hand:
Trading inventory, R9 560
Office supplies, R230
Cleaning material, R121
Packaging material, R926
No adjustment journal entries have been processed as yet in the accounting books of PMT
Traders regarding the inventory count.
Consumable stores increase the value of Inventory(asset) they reduce the value of expenses
and increase profit (equity)
The effect that the adjustment journal entries for consumables stores on hand will have on
the basic accounting equation of PNT Traders for the year ended 28 February 2019 will be
…?
A. Assets will increase by R1 277; equity will increase by R1 277 and liabilities will not be
affected.
B. Assets will increase by R1 047; equity will decrease by R1 047 and liabilities will not
be affected.
C. Assets will decrease by R1 487; equity will decrease by R1 487 and liabilities will not
beaffected.
D. Assets will not be affected; equity will increase by R1 047 and liabilities will decrease
by R1 047.
E. Assets will increase by R1 487; equity will increase by R1 487 and liabilities will not be
affected.
Question 2 of 20 3 Points
MIYOLA TRADERS
Notes to the financial statements for the financial year ended 30 June 2020
Property, plant and equipment
Carrying amount: Beginning of the year Vehicles
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