Question 2 A fire occurred in the premises of M/s Ampol Co. on 31st May 2020. From the following particulars relating to the period from 1 January 2020 to 31st May 2020, you are requested to ascertain the amount of claim to be filed with the insurance company for the loss of stock. The concern had taken an insurance policy of RO 240,000 which is subject to an average clause. 1. Stock as per Balance Sheet at 31-12-2019 2. Purchases 3. RO 396,000 680,000 Wages (including wages for the installations of a machine OR 200,000 12,000) 4. Sales 5. Sale Value of goods drawn by partners 6. Cost of goods sent to consignee on 16th May, 2020 7. Cost of goods distributed as free samples 968,000 60,000 66,000 6,000 While valuing the stock at 31 December, 2019, RO 4,000 were written off in respect of a slow moving item. The cost of which was RO 20,000. A portion of these goods were sold at a loss of RO 2,000 on the original cost of RO 10,000. The remainder of the stock is now estimated to be worth the original cost. The value of goods salvaged was estimated at RO 80,000. The average rate of gross profit was 20% throughout. Required: (a) Calculate the value of claim. (10 marks) (b) Show all the relevant workings (10 marks) (c) Explain how the amount of claim be calculated in case of Total Loss and Partial Loss. (10 mark) Total 30 marks