a) Using the financial information from the question above, if the management of Garrett Enterprise is motivated to pay lesser tax in 2021 by manipulating earnings. Explain 3 different ways of manipulating earnings through accruals. Support your answer using the financial information of Garrett Enterprise.

b) Using the financial information of Garrett Enterprise, discuss 3 possible reasons for bank overdraft and based on the 3 reasons given, suggest 3 strategies than Garrett can use to improve cashflow for his company.

Garrett Enterprise is involved in the service business. The business' unadjusted trial balance as at 31 March 2021 is as follows: Garrett Enterprise Unadjusted Trial Balance as at 31 March 2021 Accounts Debit Credit RM RM Prepaid Insurance 7,500 Debtors 35,000 Office Equipment 54,000 Office Furniture 30,000 900 Accumulated Depreciation - Office Equipment Accumulated Depreciation - Office Furniture Bank Overdraft 500 2,000 Unearned Revenue 11,000 Loan 5% 72,000 40,000 Capital Withdrawals 1,800 Service Revenue 88,600 Interest Expense 1.200 8,000 30,000 Advertising Expense Rent Expense Utilities Expense Salaries Expense 6,000 40.000 Insurance Expense 1,500 215,000 215,000 The following balance day adjustments have not been considered for the month ended 31 March 2021: Accrued Salaries Expense RM4,500. One year insurance RM9,000 was paid in advance on 1 January 2021. Insurance for the month of March 2021 was expired. Rent yet to be paid at the month-end amounts to RM1,500. Interest for the month of March 2021 is yet to be paid. The business decides to provide depreciation at 10% per annum on Office furniture and Equipment, using the straight-line method of depreciation. RM9000 of unearned revenue was earned during the month. RM5,400 worth of service was provided to the customer. The customer promised to pay on 15 April 2021. th