Compassion Kopi Enterprise is a retailer of Coffee products. It is owned by Pi-Ko, a specialist in making coffee. His wife helps him to run trainings on coffee brewing. Compassion Kopis assets and liabilities at respective year end (30 June) were as follows:

	2021			2022	2023
			RM	RM	RM
Upkeep expenses owing			1,000	2,000	3,000
Unused mixed supplies in hand			1,500	3,000	4,500
Unsold coffee in hand			30,000	40,000	45,000
Transport expenses paid in advance		15,000		14,400	0
Kaya Raya Bank - Term deposit			-	10,000	25,000
Suppliers on account balance			21,000	32,000	20,000
Salaries and employee benefits owing			9,000	9,000	13,000
Petty cash			100	200	300
Land and building (Land cost RM100,000)			220,000	220,000	220.000
Insurance paid but unexpired			18,000	15,200	10,200
Furniture, Fixtures & Fittings			16,000	26,000	46,000
Display equipment			25,500	35,000	35,000
Customers on account balance			33,000	44,000	55,000
Cash at bank			(10,000)	140,250	??
Allowance for doubtful debts			3,000	4,500	7,000
Accum. depreciation Display Equipment			10,500	13,500	??
Accum. depreciation Fixtures & Fittings			11,000	13,800	??
Accum. depreciation Building			14,000	18,000	??

Receipts	RM		Payments	RM
Over the counter sales	288,000		Pi-Kos salaries	120,000
Contribution by owner	99,000		Furniture	20,000
Receipts from customers on account	312,000		License and rates	7,700
Coffee brewing training receipts	65,000		Miscellaneous expenses	14,300
Loan payable	236,000		Payment to suppliers for goods	222,000
			Petty cash	100
			Upkeep expenses	12,300
			Salaries and employee benefits	65,000
			Mixed Supplies	39,900
			Kaya Raya Bank -Term deposit	15,000
			Transport charges	36,000

Compassion Kopi also provided the following additional information:

1. Three cheques amounting RM24,000, RM 16,000 and RM10,000 received from the credit customers Koh, Pee and Tiam respectively during the final week of June 2023. They were deposited into the business bank account on Friday, 30 June 2023 but did not appear on the bank statement for June 2023.

1. Two cheques from customers on account amounting to RM8,800 and RM4,400 were deposited but returned by the bank stating, Refer to the Drawer.

1. Three cheques for RM1,900 (Cheque No. A1234), RM2,800 (Cheque No. A1235) and RM4,900 (Cheque No. A1236) were issued by Compassion Kopi in May and June 2023 but were not paid by the bank.

1. The following timing differences were in the bank statement but not in the cash at bank summary above.
2. Received a credit transfer of RM14,500 for coffee brewing training to be provided for the HELP University staff in July 2023
3. Bank charges amounted to RM155
4. Interest income on term deposit account RM1,200
5. Standing instruction for insurance RM42,000

1. The bank statement also showed - a cheque for RM4,444 issued to Tim Sum Trading, was debited as RM444 only. Compassion Kopi has notified the bank of this error.

1. The bank loan was taken on 1 April 2023 at an interest rate of 5% per annum. Interest is payable quarterly beginning 1 July 2023. Also, 20% of the loan is repayable yearly beginning 1 April 2024.

1. For the year ended 30 June 2023, the following summary were also provided:

1. Total value of goods returned by customers on account was RM15,000
2. Total value of goods returned to suppliers on account was RM20,000
3. Total value of settlement discount from suppliers on account as shown on the payment receipts received RM15,250
4. Total value of settlement discount claimed by customers on account as shown on the receipts issued RM12,320
5. 10% from the receipts from customers on account were received for coffee brewing trainings that were completed.
6. Quantity discount received from credit suppliers were RM11,000 and quantity discount allowed to credit customers were RM22,000.

1. Teh-Oh is a credit supplier as well as a credit customer of Compassion Kopi. During the final week of June 2023, a memo was prepared to indicate that both Teh-Oh and Compassion Kopi agreed to offset/ contra their owing. Compassion Kopi owed Teh-Oh RM21,000 while Teh-Oh owed Compassion Kopi RM22,345. A cheque was received from Teh-Oh for the difference but was not banked in.

1. Compassion Kopis had two customers on account, owing RM9,000 and RM7,000 respectively. Both became insolvent. On 30 June 2023, 40% of the debt owed by them were written off as uncollectible. The remaining debt was collected, recorded and banked in.

1. 30% of freight charges expense was related to freight inwards.
2. The bad debts expense for the year ended 30 June 2023 is estimated to be 3% of the net credit sales (round up to the nearest RM).

1. The depreciation is 2% per annum and (on cost) of building, 5% per annum on furniture, fixtures and fittings and 10% per annum (on carrying amount) of display equipment. The additional furniture was acquired on 1 July 2022.

1. Unsold coffee in hand at 30 June 2023, included some slow moving coffee costing RM10,000; but the net realisable value of that coffee was only RM5,000.

# Note: In answering the following questions, students must use the appropriate terms for the items to be presented on the financial statements.

REQUIRED:

For Compassion Kopi Enterprise, Prepare the following:

(a) Accounts receivable control account for the year ended 30 June 2023;

(b) Accounts payable control account for the year ended 30 June 2023;

(c) Updated cash at bank summary for the year ended 30 June 2023;

(d) Bank reconciliation statement as at 30 June 2023;

(e) The Income statement for the year ended 30 June 2023;

(f) The Statement of changes in equity for the year ended 30 June 2023;

(g) The Balance Sheet as at 30 June 2023;