QUESTION 3 The following account balances of East Bhd as at 31 December 2020, unless stated otherwise. Debit Credit (RM’000) (RM'000) Cost of Sales and Sales Revenue 12,000 48,000 Distribution costs 4,000 Administrative costs 4,500 Finance costs 200 Taxation 1,800 Interim Ordinary Dividend 1,250 Buildings (at cost) 50,000 Plants and Machines (at cost) 12,000 Motor Vehicles (at cost) 20,000 Goodwill (indefinite life) 5,000 Patents 3,000 Accumulated depreciation as at 1 January 2020: Buildings 25,000 Plants and Machines 6,000 Motor Vehicles 12,000 Inventories (at cost) 2,000 Trade Receivables and Trade Payables 15,000 5,000 Cash and Bank 4,250 25 million Ordinary Shares Capital 25,000 Retained Earnings as at 1 January 2020 14,000 135,000 135,000 Additional information: 1. Provide depreciation (amortisation) for all properties, plants, and equipment as well as patents by using straight line method. The rates for: buildings (5% per annum); plants and machines (10% per annum); motor vehicles (20%); and patents (10% per annum).

QUESTION 3 The following account balances of East Bhd as at 31 December 2020, unless stated otherwise. Debit Credit (RM’000) (RM'000) Cost of Sales and Sales Revenue 12,000 48,000 Distribution costs 4,000 Administrative costs 4,500 Finance costs 200 Taxation 1,800 Interim Ordinary Dividend 1,250 Buildings (at cost) 50,000 Plants and Machines (at cost) 12,000 Motor Vehicles (at cost) 20,000 Goodwill (indefinite life) 5,000 Patents 3,000 Accumulated depreciation as at 1 January 2020: Buildings 25,000 Plants and Machines 6,000 Motor Vehicles 12,000 Inventories (at cost) 2,000 Trade Receivables and Trade Payables 15,000 5,000 Cash and Bank 4,250 25 million Ordinary Shares Capital 25,000 Retained Earnings as at 1 January 2020 14,000 135,000 135,000 Additional information: 1. Provide depreciation (amortisation) for all properties, plants, and equipment as well as patents by using straight line method. The rates for: buildings (5% per annum); plants and machines (10% per annum); motor vehicles (20%); and patents (10% per annum).

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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