Casemiro Bhd is a company engaged in manufacturing spare parts for the automotive industry. The directors authorized issueance of the company's financial statements for the year ended 20 June 2020 on 15 October 2020. The following matters were considered by the directors of Casemiro Bhd in the preparation of the financial statements for the year ended 30 June 2020. Required Explain how each of the below events should be treated in the financial statements of Casemiro Bhd for the year ended 30 June 2020. a) Casemiro Bhd manufactures steering rods solely for Viva Limited, a customer in Japan, and sells them at 20% above cost. On 10 September 2020, Viva Limited was placed in liquidation. On 30 June 202, Viva Limited owed Casemiro Bhd RM1,250,000 and inventories of steering rods were carried at a cost of RM750,000. The unsecured creditors of Viva Limited are expected to recover 20% of all amounts due. On 5 October 2020, Casemiro Bhd finalized a contract with a Taiwanese company to sell the stock of steering rods at a price 30% below their cost.