2018 RM ? Question 3 : You are given the following incomplete account of Senang Enterprise: Income statement for the year ended 31 December 2017 RM Sales ? Less: Cost of goods sold Inventories as at 1 January Purchases 800,000 ? Less: Inventories as at 31 December 48,000 Gross Profit 192,000 Less: Expenditure Variable expenses ? Fixed expenses Net Profit for the year ? ? ? ? ? ? ? ? 7 ? ? ? ? 3 The following information is relevant: 1 Gross profit is 25% mark-up. 2 Variable expenses represent 10% of sales. Fixed expenses represent monthly salary of RM2,000 for an account executive and monthly rental of RM1,200 for two years. During the year 2018, the account executive received a fixed incentive RM1.600 as bonus. 4 The purchase figures in 2017 represent RM16 per unit; in the year 2018 the number of units increased by 20% and the price per unit increase by 10%. 5 The closing inventories were 8,000 unit, valued at the unit purchase price for 2018. Required: Complete the missing figures above