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On the 1 June,Hazel Ltd Commenced Business with $10,000 Cash

Question 22

Multiple Choice

On the 1 June,Hazel Ltd commenced business with $10,000 cash and immediately purchased 2000 sprockets for $5 each.On the 30 June it sold all the units for $10.The current cost of the units on 30 June was $5.50 each.Under the physical capital perspective,what would be the capital maintenance adjustment for Hazel Ltd for June?


A) $1000
B) $2000
C) $9000
D) $10,000

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