The adjustments Janey Lee needs to make to her accounts are as follows:

(a) A bonus payment to an employee of $500 had been incorrectly posted to the purchases
account

(b) Depreciation of shop fittings $450

(c) Depreciation of leasehold $2,800

(d) A debt of $2,250 is irrecoverable and is to be written off and the receivables allowance is to
be increased to 2% of the year end receivables figures

(e) The inventory at 31 December 2008 is valued at $135,000

(f) On 31 December 2008, $540 was owed for advertising expenses but an invoice has not yet
been received.

(g) Local taxes have been paid up to 31.3.2009