Question 1 Joyce Limited purchased land and building on 1st January, 2012 for GH200,000 (land GH60,000 and buildings GH140,000). While there is no depreciation on land, however the company uses 5% reducing balance method on building. On 1st January 2016 the land was revalued to GH75,000 and the buildings to GH135,000. Depreciation on buildings is computed at 5% reducing balance. The financial statements are prepared on a yearly basis. Required: Calculate the revaluation reserve for the year ended 31st December, 2016. Question 2 LBC manufactures mechanical talkative recorder, which trade under the name "Talkative'. In the year ended 31 December 2017, 10,000 Talkatives were manufactured and the related costs were: GHC Materials 3,000 Labour 4,000 Depreciation of Machinery 2,000 Factory rates 1,000 Selling expenses 3,000 Expenses at head office 2,000 Abnormal loss 3,000 In addition to the information above, at 31" December 2017, there were 2,000 Talkatives in inventory Required: Assuming that these have a resale value of GH5 and a Net Realisable Value of GH1.15 each, what value should be placed on the closing inventory