A. WheatGerms is a sole proprietary business, run by Mr Yip and his two sons, Alex and Melvin. Recently, the business is expanding rapidly due to the high awareness of healthy lifestyle among the public. However, the business is struggling to fulfil the demand because it is not well equipped to produce the wheat in a large volume. Alex and Melvin persuaded their father to incorporate the business as a company so that it can have better access to the credit market. Mr Yip was reluctant to follow his sons' suggestion. [TASK] Why do you think that Mr Yip is not keen to incorporate WheatGerms as a company? Provide 2 reasons that could explain Mr Yip's reaction to his sons' suggestion. [8 marks] B. Alpha Beta is a crowd-sourced content service for financial markets. It provides articles and research which covers a broad range of shares, asset classes and investment strategies. The resources can be accessed through monthly subscriptions. On January 2020, the company received $433,000 subscription fees, and the break-down of the fees is as follows: Subscription period for: Amount January 2020 120,000 February 2020 100,000 March 2020 90,000 April 2020 40,000 May 2020 45,000 June 2020 38,000 Total subscription fee received $433,000 Alpha Beta's financial year ends on 31 March. [TASK 1] For the above subscription fee, how much should be reported as revenue in the income statement for the year ended 31 March 2020? [3 marks] [TASK 2] Mr Lamda Robinson suggested that $433,000 should be reported as revenue in the income statement for the year ended 31 March 2020 because the amount has been received before the end of the financial year. Do you agree with his suggestion? Write your response to his suggestion. [6 marks]