Question 1 (40 Marks) Sumayyah started a business, Tekun Bahagia Sdn Bhd which deals with computer hardware, software and accessories on January 1, 2018. The business closes its accounts on 31 December every year. The following balances were extracted from the book of Tekun Bahagia Sdn Bhd as at 31 December 2020: RM Accounts Inventory as at 1 January 2020 Return inwards Return outwards Carriage inwards Duty on purchases Carriage outwards Purchases Sales Discount received Insurance on purchases Commission received Shop rental Salary Salesman commission Discount allowed Interest expense Allowance for doubtful debts Accumulated Depreciation - Machinery Accumulated Depreciation - Motor vehicle Accumulated Depreciation - Building Machinery Motor vehicle Building Accounts receivable Accounts payable Telephone and electricity Insurance Bad debts Cash at bank Cash in hand Loan from CIDB (10% p.a) Drawings Capital 53,000.00 4,400.00 5,700.00 6,400.00 3,700.00 3,500.00 177,000.00 474,000.00 5,300.00 3,700.00 4,000.00 38,750.00 37,000.00 1,900.00 3,100.00 7,700.00 1,700.00 27,700.00 11,500.00 9,600.00 69,000.00 67,000.00 49,000.00 31,500.00 40,700.00 7,400.00 8,710.00 1,450.00 170,700.00 4,740.00 50,000.00 710.00 42,740.00 [See next page 10 PAF3113: Business Accounting The following adjustments need to be considered as at 31 December 2020: 1. Inventory as at 31 December 2020 was RM25,500.00 2. One of the customers was declared bankrupt and unable to settle the debts. The customer still owed RM1,760.00. The allowance for doubtful debts to be provided for the year is RM2,000.00. 3. The shop rental is RM2,500.00 per month. Teguh Bahagia Sdn Bhd paid rental in advance for three and a half months. 4. The salary for the shop assistant amounting to RM1,700.00 was still unpaid. 5. Interest on loan from CIDB Bank for half a year was outstanding. 6. Depreciation on a yearly basis is to be provided as follows: Machinery Motor vehicle Building 15% using reducing balance method 5% using straight-line method 20% using straight-line method 7. Sumayyah withdrew cash amounting to RM2,300.00 and took a computer software amounting to RM250.00 from the shop for his husband. REQUIRED: i. Prepare the Statement of Profit or Loss and Other Comprehensive Income for year ended 31 December 2020. [20 Mark ii. Prepare the Statement of Financial Position as at 31 December 2020. [20 Marks)