Samy Limited has a balance sheet date of 31 December 2020.
The financial statements of the company were authorised for issue on 31 March 2021.
On 24 January 2021, the company received an invoice from a supplier for $70,000
for goods delivered in December 2020. The goods were included in closing
inventory at 31 December 2020 at an estimated cost of $67,000. The transaction
on 24 January 2021 is:

Question

Answer

An adjusting event requiring the following journal entries: Dr Accounts Payable $3,000 Cr. Inventory/ Purchases $3,000

Answer

An adjusting event requiring the following journal entries: Dr Inventory/ Purchases $3,000 Cr. Accounts Payable $3,000

Answer

A  non-adjusting event requiring note disclosure.

Answer

A non-adjusting event requiring the following journal entries: Dr Inventory/ Purchases $7,000 Cr. Accounts Payable $7,000

Crowdly

Samy Limited has a balance sheet date of 31 December 2020. The financial statem...

Want instant access to all verified answers on elearn.waikato.ac.nz?