Detailed Help will be much appreciated

ereid

Please can someone help with the following question:-

Asset purchased 01/03/2005 £29,000.00 on Lease Purchase Agreement over 4 years

Asset sold 31/08/2008 for £10,895.89, this figure is made up of £5,495.36 settlement balance and £58.75 document fee. Giving a profit/proceeds figure of £5,400.53.

Accumulated depreciation as at 31/03/08 is £19824.22

What my query is, what entries are made to calculate profit/loss on disposal?

There is an opening balance on the ‘HP’ type account of £6700.88 as at 01/04/08 b/f and I cannot get this to balance off either at the moment.

Hope you can help please
Elaine

Monsoon

Can you ask the lease company for the amount of interest that was in the final figure?

ereid

The £5554.11 it now appears was the balance less £58.75 fee,

many apologies to you all for any work done on the other information.

Also there were 3 payments made before the settlement of the HP account.

thanks so much

anniem

Hi, to help, please can you tell me what the monthly repayments were and how many monthly payments were due in total, per the original agreement?

Anne Boleyn

HP

Hi

As previous posters we need a little more information. Working the HP a/c through as per normal gives me an opening bal on 1/4/08 of £10926.98. When did the repayments start?

PGM

*deleted*

ereid

More Information

As at 31/03/08 the opening balance from previous accountants was £14041.00
on the HP a/c
The monthly payments were £693.06 from 29/06/05 but were originally £686.92 in March 2005. The agreement was extended by 6 months or so for financial reasons.

The asset was purchased on 01/03/2005

Hope this helps
Many thanks

Anne Boleyn

HP

Hi
Do you have a copy of the HP agreement?

I've tried to put the HP a/c together but it doesn't fit with the information you've provided so far. What I would need is

Over how many months was this due to be repaid
Monthly repayment figure
When did repayments begin
Total interest figure
Any other one off charges and when they applied ie beginning or end of term
Has your client paid every month

Quite happy to help but need the above.

ereid

HP details

Hi Ann

thanks for sticking with me so far - details are -

All payments met on time

Repayment details were

1st payment of £2060.76 21/03/05
2nd £ 696.92 ? cannot see this payment !
3rd £5831.45 (vat Of £5075.00) 31/05/05 paid
45 mths £ 686.92 (AMENDED TO £693.06 FOR 45 MTHS AND possibly another
6 months but not quite sure ?)

Charges £200 at the beginning and £58.75 at the end.

Anne Boleyn

HP

Hi Elaine

I've run this many times with a few assumptions still and can't agree with the figures given. I've still got a couple of clients tax returns to file so must get on with those. I'm still happy to help but maybe tomorrow.

ereid

HP

Hi Ann

Many thanks, doing same tonight!

Elaine