QUESTION 1

The following is the Trial Balance for Eve Maryam Sdn. Bhd. as at 31 December
2023:

Eve Maryam Sdn. Bhd.

Trial Balance as at 31 December 2023
Debit Credit
(RM) (RM)
Ordinary share capital RM1 160,000
General reserves 8,000
Retained profits 20,000
Inventory at 1 January 2023 33,235
Sales 481,000
Purchases 250,000
Returns outwards 12,830
Carriage inwards 840
Carriage outwards 4,260
Salaries 50,380
Motor vehicles 43,710
Plant and buildings 109,800
Maintenance of motor vehicles 9,600
Accumulated depreciation:
Motor vehicles 7,300
Plant and buildings 24,500
General distribution expenses 2,840
General administration expenses 4,890
Directors’ remuneration 14,800
Dividend received 3,600
Accounts receivables 164,150
Cash at bank 30,870
Accounts payables 34,290
751,520 751,250

Additional information:

(i) Inventory on 31 December 2023 is valued at RM45,890.

(ii) Plant and buildings are to be depreciated at 20% using straight

line method. 50% of the depreciation related to distribution
expenses and remaining 50% related to administrative expenses.
(iii) Maintenance of motor vehicles is to be split of RM6,200 to
 distribution expenses and RM3,400 to administrative expenses.

(iv) Audit fees of RM500 is still accrued.

(v) Corporation tax on current year profit is RM2,500.

(vi) The directors proposed final dividend RM0.30 per share.

Required to:

(a) Statement of Profit or Loss for the year ended 31 December 2023. Show
all workings.

Eve Maryam Sdn. Bhd.

Statement of Profit or Loss for the year ended 31 December 2023
RM
Sales 481,000
(Less) Cost of Sales (215,625)
Inventory 1 Jan 2023
(Add) Purchases
(Less) Return outwards
(Add) Carriage inwards
(Less) Inventory 31 Dec 2023
Gross Profit 265,375
(Add) Other Income - Dividend Income 3,600
(Less) Administrative Expenses (84,950)
(Less) Selling & Distribution (24,280)
(b) (Less) Finance Cost (48,000)
Profit Before Taxation 111,745
Income Tax (2,500)
Profit for the Year 109,245

Prepare an extract of Statement of Financial Position by showing all the

Current Liabilities items as at 31 December 2023.

(c) Statement of Changes in Equity for the year ended 31 December 2023.

(b) Extract Statement of Financial Position as at 31 December 2023 for Liabilities items
 Eve Maryam Sdn. Bhd.
Statement of Financial Position (extract) as at 31 December 2023
RM
Current Liabilities
Accounts payables 34,290 
Accrued audit fees  500 
Final Dividends - Ordinary shares dividends  48,000 
Each
Therefore 5 = 1M(5) = 5M

(c) Statement of Changes in Equity for the year ended 31 December 2023
Ordinary Share Capital General Reserve Retained Earnings Total
RM RM RM RM

Balance 1 Jan 2023 160,000  8,000  20,000  188,000

Changes in Equity for 2023:

Final Dividend - OS (48,000)  (48,000)
Income for the year 109,245  109,245

Balance 31 Dec 2023 160,000 8,000 81,245 292,250

Each
Therefore 5 = 1M(5) = 5M
QUESTION 2

The following is the Trial Balance for Miracle Sdn. Bhd. as at 30 June 2022:

Miracle Sdn. Bhd.

Trial Balance as at 30 June 2022
Debit Credit
(RM) (RM)
100,000 Ordinary shares 100,000
50,000 7% Preference shares 25,000
Leasehold premises at valuation 140,000
Plant and machinery (Cost RM80,000) 66,900
Fixtures and fittings 9,100
Inventory as at 1 July 2021 9,400
Overdraft bank 7,800
Trade receivables and payables 11,200 8,300
Purchases and Sales revenue 49,700 135,250
Director’s salaries 22,000
Utility 8,480
Rental 6,600
Interest on debentures 1,200
Preliminary expenses 1,970
10% Debentures 24,000
Retained earnings 2,580
General reserve 45,200
Interim dividend on ordinary shares paid 3,250
Audit fees 1,750
Revaluation reserve 9,860
Investments 28,000
Investments income 1,560
359,550 359,550

Additional information:

(i) Inventory on 30 June 2022 is valued at RM13,480.

(ii) Rates for rental include a payment of RM2,300 for the six months from 1
April 2022.

(iii) Depreciation on plant is 15% per annum of cost.

(iv) Depreciation for fixtures and fittings were allocated at RM1,300 on 30

 June 2022.

(v) The preference share dividends are outstanding at the end of the year and
the last half year’s interest on the debentures has not been paid.

(vi) The corporation tax on this year profit is RM6,370.

(vii) The directors proposed to declare a final dividend on the ordinary shares
of RM0.13 per share and transfer RM2,500 to general reserves.

Required to prepare (Show all workings) :.

(a) Statement of Profit or Loss for the year ended 30 June 2022.

(b) Extract Statement of Financial Position as at 30 June 2022 for liabilities

items.

(c) Statement of Changes in Equity for the year ended 30 June 2022.