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1 January 2018, Bangun Bhd raised finance amounting to RM4 million. The borrowing was to finance the construction an apartment and for its operations. Part
1 January 2018, Bangun Bhd raised finance amounting to RM4 million. The borrowing was to finance the construction an apartment and for its operations. Part of this loan will be used to construct the apartment which costs RM3 million. The apartment will take approximately three years to complete. The balance of the loan is used for setting up the business operations. Since Bangun Bhd did not need the full amount of the loan in the first year of the construction, it deposited RM2 million in a fixed deposit which yielded an interest of 7% per annum. The company estimated the useful-life of the apartment is 50 years. Below are the breakdown of the sources of financing Shareholders Equity (extracted) RM'000 6% Redeemable preference shares 2,000 8% Loan stock 1,200 9% Convertible coupon bond 800 You are required to: i Calculate the capitalised rate (percentage at 1 decimal point). tion 5) Calculate the cost of the apartment. (6 marks) (6 marks) Prepare the Statement of Comprehensive Income (Extract) for the year ended 31 December 2019 until 2021. (6 marks) Prepare the Statement of Financial Position (Extract) for the year ended 31 December 2020 and 2021. (2 marks)
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