Bookkeeper calculated net profit to be R420 000, and the following adjustments were not recorded:
-Bank charges were R820
-Owner took stock for personal use, selling price was R2500 and the cot price was R1800
-Depreciation of equipment at 10% on deminishing balance method, cost of equipment was R150 000 and the Accumulated Depreciation was R65 000
Adjusted net profit after considering the adjustments:
1. Bank charges: R420,000 - R820 = R419,180
2. Stock taken for personal use:
Gross profit on stock taken = R2500 - R1800 = R700
Adjusted net profit after considering stock taken = R419,180 - R700 = R418,480
3. Depreciation of equipment:
Annual depreciation = R150,000 * 10% = R15,000
Adjusted net profit after considering depreciation = R418,480 - R15,000 = R403,480
Therefore, the adjusted net profit after considering all adjustments is R403,480.