100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
FAC2601 Assignment 2 Semester 1 2022 Solutions $2.99   Add to cart
Quickly navigate to
Preview
  2.  
  3. University Of South Africa (Unisa)
  4.  
  5. FAC2601 - Financial Accounting And Reporting

Other

FAC2601 Assignment 2 Semester 1 2022 Solutions
 12 views  0 purchase
  • Course
  • FAC2601 - Financial Accounting And Reporting
  • Institution
  • University Of South Africa (Unisa)

This document includes the assignment questions, solutions, and explanations.

Preview 1 out of 6  pages

Document information

  • May 9, 2022
  • 6
  • 2022/2023
  • Other
  • Unknown

Subjects

  • fac
  • fac2601
  • fac2601 assignment 2
  • 173709
  • fac2601 2022
  • fac2601 assignment 02
  • fac2601 assignment 2 2022
  • fac2601 assignment 2 semester 1 2022 solutions
  • fac2601 assignment 02 semester 1

Written for

  • University of South Africa (Unisa)
  • FAC2601 - Financial Accounting And Reporting
All documents for this subject (79)

Seller

avatar-seller
aj107

Reviews received

Content preview

Financial Accounting for Companies
FAC2601
Department of Financial Accounting
Assignment 02 for Semester 01 (compulsory)
Unique Number: 173709
Due Date: 6 April 2022
ASSIGNMENT 02 (30 marks) (36 minutes)
The following balances were extracted from the trial balance of Bell Crest Ltd on 30 June 2020:




Additional information:

1. Bell Crest Ltd owns property in Germiston, situated on stand 50, that it occupies for its
own business purposes. The land and buildings were acquired on 1 August 2016. The
building is depreciated over 20 years. Mr. Blog an experienced independent sworn
appraiser determined that the fair value of the land obtained on 1 August 2016 to be
R850 000 on 1 October 2019.

All of the net replacement values and fair values were determined by Mr Blog an
independent sworn appraiser. Mr Blog had recent experience in the location and
category of the property being valued. The values were determined with reference to net
current market prices on an arm’s length basis of similar properties in similar areas.

2. On 1 September 2019, additional land was purchased at a cost of R700 000 in Germiston on
stand 55, for use for its own business purposes. From 1 August 2019 Bell Crest Ltd withdrew
some of its plant and machinery costing R500 000 to be used in the construction of the
building. The building was completed and ready for use on 1 November 2019. The following
expenses were incurred in the construction of the building:

Labour costs R850 000
Material R425 000

The newly constructed building had an estimated useful life of 25 years. Plant and machinery
with a carrying amount of R1 000 000 at the beginning of the current financial year was
withdrawn completely from use on 1 September 2019 after health inspectors prohibited the
use of the plant due to irreparable pollution problems it may cause.

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller aj107. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $2.99. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

75632 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$2.99
  • (0)
  Add to cart