The following is an extract of the Statement of Financial Position of Armani Enterprise: Statement of Financial Position (extract) as at 30 June 2015 RM Current assets Prepaid advertising expenses 1,280 Accrued rental received 2,000 Current liability Unpaid electricity expenses 120 Receipts and payments account (extract) for the year ended 30 June 2016 Receipts RM Payments RM Rent received 10,000 Advertising 600 Electricity 1,000 Additional information: Advertising in arrears as at 30 June 2016 amounted to RM200 Electricity bill of RM150 has been paid in advance as at 30 June 2016 According to the rental agreement, the monthly rental is RM1,000 per month. As at 30 June 2016, 4 months’ rental has yet to be received. Required: Prepare and balance off the following accounts for the year ended 30 June 2016: (a) Prepaid advertising expenses account (b) Advertising expenses account (c) Accrued advertising account (d) Accrued rental received account (e) Rental received account (f) Accrued electricity account (g) Electricity account (h) Prepaid electricity account
The following is an extract of the
Statement of Financial Position (extract) as at 30 June 2015
|
|
RM |
|
Current assets |
|
|
Prepaid advertising expenses |
1,280 |
|
Accrued rental received |
2,000 |
|
|
|
|
Current liability |
|
|
Unpaid electricity expenses |
120 |
Receipts and payments account (extract) for the year ended 30 June 2016
|
Receipts RM |
Payments RM |
|
Rent received 10,000 |
Advertising 600 |
|
|
Electricity 1,000 |
Additional information:
- Advertising in arrears as at 30 June 2016 amounted to RM200
- Electricity bill of RM150 has been paid in advance as at 30 June 2016
- According to the rental agreement, the monthly rental is RM1,000 per month. As at 30 June 2016, 4 months’ rental has yet to be received.
Required:
Prepare and balance off the following accounts for the year ended 30 June 2016:
(a) Prepaid advertising expenses account
(b) Advertising expenses account
(c) Accrued advertising account
(d) Accrued rental received account
(e) Rental received account
(f) Accrued electricity account
(g) Electricity account
(h) Prepaid electricity account
Step by step
Solved in 2 steps
