5.On 1 January 2014, a small company had an allowance of doubtful debts of RM1,000. During 2014, debts of RM600 were written off and RM80 was paid by the liquidator of a company whose debts had been written off completely in 2013. At the end of 2014, it was decided to adjust the allowance to RM900. What is the total expense for irrecoverable debts that should be included in the statement of profit or loss for 2014? a) RM420 b) RM780 c) RM580 d) RM620 6.A company acquired a new minicomputer system for RM50,000 on 1 November 2014. The computer's estimated useful life is five years, at the end of which it is expected to have a scrap value of RM4,550. The company's financial year ends on 31 March and straight-line depreciation is applied on a time-apportioned basis. What is the depreciation charge on the computer in statement of profit or loss for the year ended 31 March 2015? a) RM9,090 b) RM10,000 c) RM4,167 d) RM3,788 7.Pearl has trade receivables at the year-end amounting to RM150,000. An irrecoverable debt of RM3,500 is to be written off. Pearl has an opening allowance of doubtful debts of RM1,000 and wishes to maintain an allowance of 5% of year-end accounts receivable. What is the balance carried down on the allowance of doubtful debts account after dealing with the above item? a) RM10,825 b) RM6,325 c) RM7,325 d) RM3,825 8.A company pays rent quarterly in arrears on 1 January, I April, 1 July and 1 October each year. The rent was increased from RM90,000 per year to RM120,000 per year as from 1 October 2012. What rent expense and accrual should be included in the company's financial statements for the year ended 31 January 2013? a) Rental expense RM100,000; Accrual RM10,000 b) Rental expense RM100,000 ; Accrual RM20,000 c) Rental expense RM97,500 ; Accrual RM20,000 d) Rental expense RM97,500 ; Accrual RM10,000