QUESTION 1 (20 MARKS) As at 1 January 2019, the unadjusted cash balance for AWFA Sdn Bhd was RM 5,167 while the cash balance in the unadjusted bank statements reflected the balance of RM 5,100 as at 31 December 2019. a. i) Cash receipts of RM 1,300 were deposited two days ago not recorded in the bank statement ii) Check number 880 paid to Siang Heng's creditors, amounting to RM 750, was not recorded in the bank statement. iii) The check number 891 paid to the creditor Flight, amounting to RM 300 has not been forwarded to the bank for payment. iv) Payment of check number 868 to the supplier amounting to RM 205 was incorrectly recorded in the cashbook as RM 223. The error are not recorded in the bank statement. v) Bank service charge of RM 55. vi) A total of RM100 has been debited directly to the AWFA Sdn. Bhd for a number of interests received. vii) Checks received from Jaya Rasa debtors totaling RM 210 were returned due to insufficient balance. Required: i. Prepare Bank Adjustment Statement for Pelangi Sdn. Bhd, as of December 31, 2019. (7 marks) ii. Prepare adjustment entries as of December 31, 2019. (details omitted) (4 marks) b. The information below is about ACT Fast Enterprise for the year ended 31 December 2020. Page 4 Debtors (before bad debt write off) RM240,000 Bad debt write off RM5,000 Balance Allowance Doubtful Debt Account on 31 Dec 2019 RM500 (credit) Based on experience, ACT Fast Enterprise expects that uncollectible debt is 5% from the debtors balance. Required: 1. Show the journal entries for all relevant transactions above. (2 marks) ii. Prepare the ledger for allowance for doubtful debt showing balance on 31 December 2020. (2 marks) iii. Show extracts of Profit or Loss Account for the year ended 31 December 2020 and extract of the Balance Sheet as of that date