Additional information: i. Supplies as at 31st December 2019, RM34,500. ii. Insurance expense at the rate of RM850 per month. iii. Yearly depreciation on the non current assets as below: • furniture and fittings, RM5,175 • motor vehicles, RM20,400. iv. Interest expense RM5,295 still payable by end of the year v. Estimated doubtful debt at the rate of 2% of accounts receivable Question: 1. Prepare the Statement of Profit or Loss and Other Comprehensive Income for the year ended 31st December 2019. 2. Prepare the Statement of Financial Position as at 31st December 2019.
Additional information: i. Supplies as at 31st December 2019, RM34,500. ii. Insurance expense at the rate of RM850 per month. iii. Yearly depreciation on the non current assets as below: • furniture and fittings, RM5,175 • motor vehicles, RM20,400. iv. Interest expense RM5,295 still payable by end of the year v. Estimated doubtful debt at the rate of 2% of accounts receivable Question: 1. Prepare the Statement of Profit or Loss and Other Comprehensive Income for the year ended 31st December 2019. 2. Prepare the Statement of Financial Position as at 31st December 2019.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Additional information:
i. Supplies as at 31st December 2019, RM34,500.
ii. Insurance expense at the rate of RM850 per month.
iii. Yearly
• furniture and fittings, RM5,175
• motor vehicles, RM20,400.
iv. Interest expense RM5,295 still payable by end of the year
v. Estimated doubtful debt at the rate of 2% of accounts receivable
Question:
1. Prepare the Statement of Profit or Loss and Other Comprehensive Income for the year ended 31st December 2019.
2. Prepare the Statement of Financial Position as at 31st December 2019.
Transcribed Image Text:Metro Business Consultancies (MBC) was established in Kuala Lumpur on 1 January 2019. The
business offers management, marketing and finance consultancies for small medium enterprises.
Jesicca was appointed to handle about business accounting related matters. At the end of the first-
year operations, MBC required to accurately report revenues earned and expenses incurred during
that time period. MBC had the following unadjusted trial balance
Metro Business Consultancies
Unadjusted Trial Balance as at 31s“ December 2019
Account Name
Debit
Credit
(RM)
89,400
105,832
13,600
155,500
103,500
(RM)
Cash
Accounts Receivable
Prepaid Insurance
Supplies
Furniture and fittings
(Purchased on 1/1/2019)
|Motor Vehicles (Purchased on 1/1/2019)
Purchase
| Accounts Payable
Service Revenue
| Capital
Long Term Loan
Unearned Service Revenue
Stationeries and Printing Expense
Salaries Expense
Utilities Expense
Advertising Expense
Rent Expense
204,000
113,000
95,209
228,300
350,000
130,000
10,000
636
108,000
3,600
5,441
24,000
813,509
813,509
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