Mr Marvin is a merchandising company which has business operations in Ipoh, Perak The following trial balance has been extracted from the books as at 31 July 2021 Marvin Enterprise Trial Balance as at 31 July 2021 Descriptions Debit RM Credit RM Purchases and Sales 365,000 820,000 Returns 5,300 1,200 Carriage inwards 3,200 Carriage outwards 7,200 Rental 4,200 Salary 110,000 Advertising 600 Building maintenance 150,600 Repair of motor vehicle 30,200 Office expenses 43,600 Interest on loan 2,400 Bad debt 360 Building (Cost) 230,000 Fixtures and fittings 85,200 Accumulated depreciation as at 1 August 2020 Building Fixtures and fittings 42,000 13,200 Inventory as at 1 August 2020 35,000 Account receivables and Account payables 136,840 60,200 Bank 7,650 Bank loan 10 80,000 Capital 192,350 1,213,150 1,213,150 Other information Closing inventories as at 31 July 2021 was estimated to be worth RM18,900 Included in building maintenance expenses is a building renovation cost RM65,000 Accrued Expenses Rental RM800, Salary RM3,250 Prepaid Expenses Advertising RM575 Annual depreciation for the non current assets as follow Fixtures and fittings 10 Reducing balance method Building 2 Straight line method During the year, the proprietor has taken goods costing RM2,350 and give to his mother He also took cash of RM800 per month from the business for his personal consumption Cash drawings had been recorded in a Salary Account It has been agreed that further debts amounting to RM440 are to be written off against specific customers, and the closing provision for doubtful debts is to be adjusted to 2 of the revised account receivables figure The bank loan carries an interest rate of 10 per annum It is the company policy to pay interest charges at the end of every year Required Prepare Marvin Enterprises Statement of Profit or Loss (post adjustments) for the year ended 31 July 2021 marks) Prepare Marvin Enterprises Statement of Financial Position (post adjustments) as at 31 July 2021

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Mr. Marvin is a merchandising company which has business operations in Ipoh, Perak. The following trial balance has been extracted from the books as at

Mr. Marvin is a merchandising company which has business operations in Ipoh, Perak. The following trial balance has been extracted from the books as at 31 July 2021.

Marvin Enterprise

Trial Balance as at 31 July 2021

Descriptions	Debit RM	Credit RM
Purchases and Sales	365,000	820,000
Returns	5,300	1,200
Carriage inwards	3,200
Carriage outwards	7,200
Rental		4,200
Salary	110,000
Advertising	600
Building maintenance	150,600
Repair of motor vehicle	30,200
Office expenses	43,600
Interest on loan	2,400
Bad debt	360
Building (Cost)	230,000
Fixtures and fittings	85,200
Accumulated depreciation as at 1 August 2020 Building Fixtures and fittings		42,000 13,200
Inventory as at 1 August 2020	35,000
Account receivables and Account payables	136,840	60,200
Bank	7,650
Bank loan 10%		80,000
Capital		192,350
	1,213,150	1,213,150

Other information:

Closing inventories as at 31 July 2021 was estimated to be worth RM18,900.

Included in building maintenance expenses is a building renovation cost RM65,000.

Accrued Expenses: Rental RM800, Salary RM3,250.

Prepaid Expenses: Advertising RM575.

Annual depreciation for the non-current assets as follow:-

Fixtures and fittings 10% - Reducing balance method

Building 2% - Straight line method

During the year, the proprietor has taken goods costing RM2,350 and give to his mother. He also took cash of RM800 per month from the business for his personal consumption. Cash drawings had been recorded in a Salary Account.

It has been agreed that further debts amounting to RM440 are to be written off against specific customers, and the closing provision for doubtful debts is to be adjusted to 2% of the revised account receivables figure.