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production. 5. Depreciation is to be provided for as follows: Motor vehicles 15% reducing balance; Plant and machinery 10% reducing balance; Office furniture 10% straight
production. 5. Depreciation is to be provided for as follows: Motor vehicles 15% reducing balance; Plant and machinery 10% reducing balance; Office furniture 10% straight line. Required: (a) Explain why it is necessary for Jaleel Ltd to prepare a manufacturing account at the end of its financial year. (b) During the year ended 31 October 2020, Jaleel Ltd purchased some finished goods from another manufacturer. Suggest two (2) reasons why Jaleel Ltd purchased these goods rather than manufacture them. (c) Prepare Manufacturing, Trading and Profit and Loss Accounts for the year ending 31 October 2020. (d) Prepare a Balance Sheet as at 31 October 2020. production. 5. Depreciation is to be provided for as follows: Motor vehicles 15% reducing balance; Plant and machinery 10% reducing balance; Office furniture 10% straight line. Required: (a) Explain why it is necessary for Jaleel Ltd to prepare a manufacturing account at the end of its financial year. (b) During the year ended 31 October 2020, Jaleel Ltd purchased some finished goods from another manufacturer. Suggest two (2) reasons why Jaleel Ltd purchased these goods rather than manufacture them. (c) Prepare Manufacturing, Trading and Profit and Loss Accounts for the year ending 31 October 2020. (d) Prepare a Balance Sheet as at 31 October 2020
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