Basic Financial Accounting - Fixed Assets

The correct answer is the account for building under tangible assets is debited 8.000.000 while the other creditors (liability) account is credited 8.000.000. This is because the building is a fixed asset that has been purchased on credit, meaning that the company has a liability to pay the amount owed to the creditor.

The correct answer is that the impairment account (profit/loss) is debited 900,000 while the accumulated depreciations account (asset) is credited 900,000. This is because the estimated value of the machine is 300,000, which is 900,000 less than the booked value of 1,200,000. Impairment occurs when the value of an asset decreases significantly and permanently, and it is recorded as a loss in the impairment account. The accumulated depreciations account is credited because it represents the reduction in the value of the asset over time due to depreciation.

The correct answer is that the account for building under tangible assets is debited 4.000.000 while the cash account (asset) is credited 4.000.000. This is because when a company purchases a building for cash, it is considered a fixed asset and should be recorded as a debit in the building account. At the same time, the cash account should be credited because the company is using cash to make the purchase. This journal entry accurately reflects the transaction and ensures that the company's financial records are accurate.

The correct answer is that the account for depreciations (profit/loss) is debited 250.000 while the account for accumulated depreciations (assets) is credited 250.000. This is because the machine was purchased for 3.500.000 and is estimated to have a scrap value of 500.000 after 6 years. Therefore, the total depreciation over the 6-year period would be 3.500.000 - 500.000 = 3.000.000. Dividing this by 6 years gives an annual depreciation of 3.000.000 / 6 = 500.000. Since the machine was purchased in the middle of the fiscal year, the depreciation for the first year would be half of the annual depreciation, which is 500.000 / 2 = 250.000. Hence, the correct journal entry for depreciation would be to debit the account for depreciations (profit/loss) by 250.000 and credit the account for accumulated depreciations (assets) by 250.000.

The correct answer is that the account for machinery under tangible assets is debited 1.600.000, the cash account (asset) is credited 2.000.000 while the account for input VAT (liability) is debited 400.000. This is because the machine is being purchased for 2.000.000, which includes 400.000 in VAT. The VAT amount is fully deductible, so it is recorded as a debit to the input VAT account. The machine is a fixed asset, so it is recorded as a debit to the machinery account. The purchase is made in cash, so the cash account is credited for the full amount of 2.000.000.

When a company purchases a machine with VAT included, the cost of the machine is divided into two parts: the actual cost of the machine and the VAT amount. In this case, the machine costs 500.000, with 100.000 being the VAT amount. The VAT amount is fully deductible, so it is recorded as a liability. The account for machinery under tangible assets is debited with the actual cost of the machine (400.000), indicating an increase in the company's assets. The other creditors account is credited with the total cost of the machine (500.000), representing the amount owed to the creditor. Finally, the account for input VAT is debited with the VAT amount (100.000), indicating the liability for the VAT.

The correct answer is that the account for depreciations (profit/loss) should be debited 400.000 while the account for accumulated depreciations (assets) should be credited 400.000. This is because the machine was purchased for 2.200.000 and is estimated to have a scrap value of 200.000 after 5 years. Therefore, the total depreciation over the 5-year period would be 2.000.000 (2.200.000 - 200.000). Since straight-line depreciation is used, the annual depreciation expense would be 400.000 (2.000.000 / 5). The account for depreciations (profit/loss) is debited to reflect the expense, and the account for accumulated depreciations (assets) is credited to reduce the value of the machine on the balance sheet.

The correct answer is the fourth option. The loss on assets account is debited for 360,000 because the company incurred a loss on the sale of the machine. The tangible assets account is credited for 1,500,000 to remove the machine from the company's balance sheet. The accumulated depreciations account is debited for 500,000 to remove the accumulated depreciation of the machine. The output VAT account is credited for 160,000 because it represents the VAT collected on the sale. Finally, the other debtors account is debited for 800,000 to record the amount to be received from the buyer in 6 months.

The correct answer is that the gain on assets account (profit/loss) is credited 800,000, the tangible asset account is credited 4,000,000, the cash account (asset) is debited 3,000,000, and the accumulated depreciations account (asset) is debited 1,800,000. This is because when a company sells a fixed asset, the gain or loss on the sale is recorded in the gain on assets account. The tangible asset account is credited to remove the building from the company's books, and the cash account is debited to record the receipt of cash from the sale. The accumulated depreciations account is debited to remove the accumulated depreciation on the building.

The correct answer is: The loss on assets account (profit/loss) is debited 120.000, the tangible fixed asset account is credited 1.000.000, the accumulated depreciations account (asset) is debited 800.000, the output VAT account (liability) is credited 20.000 while the cash account (asset) is debited 100.000.

This is the correct posting because when a fixed asset is sold, the loss on assets account is debited for the amount of the loss, which in this case is 120.000. The tangible fixed asset account is credited for the original cost of the asset, which is 1.000.000. The accumulated depreciations account is debited for the total amount of accumulated depreciations, which is 800.000. The output VAT account is credited for the amount of VAT collected on the sale, which is 20.000. Finally, the cash account is debited for the amount of cash received from the sale, which is 100.000.

The correct answer is the gain on asset account (profit/loss) is credited 1.700.000, the tangible fixed assets account is credited 8.000.000, the accumulated depreciations account (asset) is debited 6.000.000 while the other debtors account is debited 3.700.000. This is because the company has sold a building that was used in its production. The building was originally purchased for 8.000.000, but the accumulated depreciations amount to 6.000.000, resulting in a booked value of 2.000.000. The building has been sold for 3.700.000, which means the company has obtained a profit of 1.700.000. The gain on asset account is credited to reflect this profit, and the tangible fixed assets account is credited to remove the building from the company's assets. The accumulated depreciations account is debited to remove the accumulated depreciations for the building, and the other debtors account is debited to record the amount to be received in 6 months.