1 The Cash account of WonderSlice Cakeshop Sdn. Bhd. at, 31 July 2019, is as follows: Cash Account RM RM July 1 Balance 1,786.68 July 10 2,842.40 2 15 17 25 30 2,161.00 12 1,864.62 3,413.34 22 516.00 334.30 29 309.34 1,885.42 30 237.62 1,162.28 Aug. 1 Balance 4,981.04 Bank Statement WonderSlice Cakeshop Sdn. Bhd. No. 121 Lorong Datuk Sulaiman 9, Taman Tun Dr Ismail, 60000 Kuala Lumpur 31 July, 2019 Date Cheque No. Trans. Code Debit RM Credit RM Account No. 164179012933 Balance RM July 1 Opening balance 1,833.28 Credit July 4 July 5 CH 85 1,160.80 2,161.00 July 5 649 691.90 July 6 648 121.10 July 17 CH 3,413.34 July 12 710 2,842.40 July 14 CT 760.28 July 18 CQ 1,885.42 July 201 711 1,864.62 July 22 712 570.00 July 27 BC 80.46 July 29 261 820.00 July 31 Closing balance Transaction Code (TC) CH Co Cash Cheque 4,223.64 Credit So CT Standing Order Credit Transfer BC Bank Charges Additional information: 1. Cheques number 647, 648 and 649 are outstanding cheques from June 2019. However, cheque number 647 amounting RM 386.40 was still outstanding at, 31 July 2019. 2 On 4 July, cheque amounting RM 1,160.80 was recorded a deposit in transit on the June bank reconciliation and the cheque has been cleared by the bank in July. 3. The cheque collected from a customer on 17 July amounting to RM 334.30, was duly banked in. On 18 July, the bank informed the cheque was returned due to Non- sufficient fund' (customer not having sufficient balance in its bank account). 4. The correct amount on cheque number 712 issued on 22 July 2019 to a supplier, Seri Setia Sdn. Bhd, is RM 570. The correct amount is recorded on the bank statement. 5. Cheque number 261 paid by the bank on the 29 July 2019 belongs to another company. The bank was notified of the error. Required: a. Update the Cash Account of WonderSlice Cakeshop Sdn. Bhd for the month of July 2019. b. Prepare the bank reconciliation for the company as at, 31 July 2019. Question 2 JG Sports World is a retailer in a line of sports products. The beginning inventory of a particular sports shoes product and the purchases during the current year, were as follows: Date Unit Cost (RM) January 1 March 9 Beginning inventory Purchases August 20 Purchases November 15 Purchases Units 30 50 50 60 95 90 85 80 The following are information about the sales activities of the above product during the year. Date April 10 Sales September 11 December 23 Sales Sales Required: Units Selling Price (RM) 42 220 60 117 65 115 a. Assuming the company uses a perpetual inventory system, calculate the cost of sales and the value of the ending inventory using the First-In First- Out (FIFO) inventory valuation method. b. Assuming the company uses a periodic inventory system, calculate the cost of sales and the value of the ending inventory using the weighted average inventory valuation method. c. Calculate the revenue and gross profit of the company for the year ended 31 December 2019. d. It was discovered that all the units of the ending inventory that was remaining at the end of September 2019 were slightly damaged, hence the net realizable value of the unsold units were only RM 60. What would be the value of ending inventory under FIFO method and weighted average method taking into consideration this damaged inventory? Explain your answer. Question 1 The Cash account of WonderSlice Cakeshop Sdn. Bhd. at, 31 July 2019, is as follows: Cash Account RM July 1 Balance 1,786.68 July 10 RM 2,842.40 2 2,161.00 12 1,864.62 15 3,413.34 22 516.00 17 334.30 29 309.34 25 1,885.42 30 237.62 30 1,162.28 Aug. 1 Balance 4,981.04. Bank Statement WonderSlice Cakeshop Sdn. Bhd. No. 121 Lorong Datuk Sulaiman 9, Taman Tun Dr Ismail, 60000 Kuala Lumpur 31 July, 2019 Date Cheque No. Trans Code Debit RM Credit RM Account No. 164179012933 Balance RM July 1 Opening balance 1,833.28 Credit July 4 July 5 CH 85 1,160.80 2,161.00 July 5 649 691.90 July 6 648 121.10 July 17 CH 3,413.34 July 12 710 2,842.40 July 14 CT 760.28 July 18 CQ 1,885.42 July 201 711 1,864.62 July 22 712 570.00 July 27 BC 80.46 July 29 261 820.00 July 31 Closing balance Transaction Code (TC) CH CO Cash Cheque 4,223.64 Credit CT Standing Order Credit Transfer BC Bank Charges Additional information: 1. Cheques number 647, 648 and 649 are outstanding cheques from June 2019. However, cheque number 647 amounting RM 386.40 was still outstanding at, 31 July 2019. 2 On 4 July, cheque amounting RM 1,160.80 was recorded a deposit in transit on the June bank reconciliation and the cheque has been cleared by the bank in July. 3. The cheque collected from a customer on 17 July amounting to RM 334.30, was duly banked in. On 18 July, the bank informed the cheque was returned due to Non- sufficient fund' (customer not having sufficient balance in its bank account). 4. The correct amount on cheque number 712 issued on 22 July 2019 to a supplier, Seri Setia Sdn. Bhd, is RM 570. The correct amount is recorded on the bank statement. 5. Cheque number 261 paid by the bank on the 29 July 2019 belongs to another company. The bank was notified of the error. Required: a. Update the Cash Account of WonderSlice Cakeshop Sdn. Bhd for the month of July 2019. b. Prepare the bank reconciliation for the company as at, 31 July 2019