In the UK, it is estimated there are 22.36 million households, and collectively they pay approximately £2,938 million annually for electricity, assuming a 365-day year. Therefore, the total amount paid by UK households each year for electricity is £2,938 million.
Answer:
Cost of the new machine:
= Price of new machine - Trade allowance + Market value of old machine
= $16,000 - $9,000 + $6,000
= $13,000
Consequently, the journal entry would be recorded as follows:
New Machine Cost A/c Dr. $13,000
Accumulated Depreciation (Book Value) A/c Dr. $4,000
Loss from machine exchange A/c Dr. $2,000
To Old Machine (Book Value) $12,000
To Cash (16,000 - 9,000) $7,000
(To document the equipment exchange)
