Expense recognition Tesco Plc. is a British-based grocer and retailer chain. It uses the accrual basis of accounting and recognizes revenue at the time sells goods or renders services. It applies IFRS and reports in pounds sterling (?L). Indicate the amount of expense recognized during October (if any) from each of the following hypothetical transactions or events. The firm does the following
a. Pays ?L440,000 on October 5 for commercials that appeared on British television during September
b. Pays ?L1,200,000 on October 6 for refrigeration units delivered to its stores on September 30. The firm expects the refrigerators to last for five years and have no salvage value.
c. Pas ?L300,000 on October 10 for property tales for the period from October 1 of this year to September 30 of next year.
d. Pays ?L15,500 on October 15 for cleaning supplies purchased on October 10. Cleaning supplies on hand on October 1 cost ?L3,500 and on October 31 cost ?L5,400.
e. Pays ?L4,000 on October 20 for repairs to a forklift truck on October 1. The truck had a remaining useful life of five years on October 1.
f. Pays ?L100,000 on October 25 as a deposit on land Tesco plans to purchase for a new store.
g. Pays ?L200,000 on October 31 as rent on a warehouse for October and November.
Armstrong Helmet Company manufactures a unique model of bicycle helmet Question Case project Learning Objectives: Prepare practical applications of course concepts Develop analytical and critical thinking Develop decision-making capabilities Enhance professional...