Alaska Limited is a manufacturing business specialized in the manufacture of Iron and steel. It has been incorporated last year (2020) and is owned by Mr. Gungun. He has been working in the Iron and steel industry for last 25years but has no accounting knowledge. He has appointed an Accountant to prepare his final accounts. But he is not too happy with the work of the newly appointed Accountant. In this concern, Mr Gungun has appointed YOU as an ACCOUNTING CONSULTANT, to advise him on the following matters; (1) In 2020, plant, equipment and machinery have been depreciated using the reducing balance method. This has caused a high increase in cost of production. As such, Mr Gungun wants to change the depreciation method to straight line. (10 Marks) (2) Mr Gungun has a childhood friend who is soon going to open a construction company and has promised to take raw materials from Alaska LTD. Mr Gungun wants to show this as a sale and increase his profit as he has full trust in his friend. (10 Marks) (3) Alaska has a building which was bought few years ago at a purchase price of $100 000. Mr Gungun states that this value is not good as the building has a salable value of $500 000 and therefore should be included at $500 000 as non-current assets in the statement of financial position. (10 marks) (4) The staffs of Alaska are highly motivated and encouraged. They are willing to join work early and are very happy at work. This motivation makes them more productive and develop their skills, making the quality of product they produce more competitive. Mr Gungun thinks that this is one among the biggest asset of his company and he wants you to explain how he can include this in his financial statement. (10 Marks) (5) Alaska has a storage warehouse. It has rent the warehouse to another company Morgan Neets. An agreement has been established between the two companies whereby a rent of $120 000 should be paid to Alaska yearly. During the year, 2020, Alaska received only $90 000 from Morgan Neets. Mr Gungun is unable to understand why the Income statement include the amount $120 000 for rent received while only $90 000 was received by cheque. (10 Marks) Provide appropriate advice on all the 5matters raised by Mr Gungun in relation to his company, Alaska concerning accounting issues.