QUESTION 1: (10) Specify/Indicate whether the following accounts are Assets, Liabilities, Income or expense accounts respectively: (10) 1.1 Discount received 1.2 Vehicle repairs 1.3 Revenue stamps on hand 1.4 Revenue stamps used 1.5 Discount allowed 1.6 Prepaid water and electricity 1.7 Rent received in advanced 1.8 Cash on hand 1.9 Trust creditors 1.10 Bank Charges QUESTION 2: (30) Consider the transactions below pertaining to Pandus Law Firm and prepare the following accounting statements from the transactions presented and answer the question: 2.1 Trial Balance (20) (Please list the different accounts in the Trial Balance in the following order: Assets, Labilities then Owners equity accounts) 2.2 Income Statement (7) 2.3 What is the value of the Total Assets, Total Liabilities and Total Owners Equity? (3) Transactions: Pandus Law Firm 1. Pandu deposits N$ 700 000 into the bank to start his own law firm business. 2. He purchases computers for the office in the amount of N$15000 by EFT. 3. He Withdraws N$20 000 from his bank account for petty cash. 4. Pandu pays office rental in the amount of N465 000 by EFT. 5. He purchases office furniture in the amount of N$25 000 by EFT. 6. He pays for coffee and tea in the amount of N$400 from petty cash. 7. He pays for the water and electricity in the amount of N$3000 by EFT. 8. He also purchases a law library from Lexis Nexis on credit worth N$25 000. 9. Pandu receives rent income for renting out one of his offices in the amount of N$7000 in cash. 10. Pandu takes an overdraft at Bank Windhoek in the amount of N$6000. 11. He withdraws N$1000 from the bank for his own private use. 12. Pandu renders divorce legal services to client James and charges/invoices the client in the amount of N$5000. 13. Client James pays Pandu for his divorce case in the amount of N$5000 (in respect of the invoice issued) by EFT. 14. Susan pays Pandu a deposit of N$50 000 to defend her on a criminal charge of robbery. 15. Pandu takes out a loan in respect of the business, with Standard bank, in the amount of N$300 000. The money is released into his bank account. QUESTION 3: (15) With reference to the above transactions pertaining to Pandus Law Firm indicate / specify in which Book of First entry would each of the transactions listed be recorded? Only mention the applicable Book of First entry. (15) QUESTION 4: (15) With reference to applicable and relevant law (common law/statutory law) and or the rules of the Law society - Mention 15 (fifteen) financial activities / transactions/ financial actions that are prohibited in respect of the practice of accounting in Law Firms.