ACC1113/ Page 5 of 7 SECTION B: (25 marks): Read each of the questions carefully and thoroughly before your attempts. Question 4 (a) Kanika Food (M) Sdn. Bhd. produces a single type of chicken sausage for specific customers in Malaysia. The main type of raw materials being used is chicken mince-meat supplied from a few local suppliers. There was an opening inventory (3,900 kg at RM8 each) brought forward from June 2019. During July 2020, the company's operations had the following transactions: Date Issued out to production Bought at gross price and quantity 3,800 kg at RM8.20 each 4,800 kg July 2 July 5 July 8 July 13 July 18 July 21 July 25 2,600 kg at RM8.30 each 900 kg at RM8.50 each 3,200 kg 3,500 kg at RM8.60 each 3,950 kg Additional information: On 1 July 2020, Kanika decided to appoint one of its suppliers as its sole authorized supplier with a purchase agreement; the company will receive a free 5 kg of chicken mince- meat for each 1,000 kg purchased. In the management meeting, it was decided that the free item would be a cost saving to the company. Required: Using the following methods calculate the value of closing inventory as at 31 July 2020. (Round your answers to 2 decimal points. Eg: 3.127 =3.13) (i) First in, First out method (FIFO) (ii) Moving Average method (MAVG) (8 marks) (7 marks) Note: No mark is rewarded if there is no working shown for each calculation