Question 3 (a) A company maintains its non-current assets at cost. Accumulated depreciation accounts for the asset are kept. At 31 December 2019 the position was as follows: Total cost to date (RM) Total depreciation to date (RM) 25,000 1,200 Machinery Office furniture 100,000 20,000 The following additions were made during the financial year ended 31 December 2020: Machinery RM16,000, office furniture RM1,500. Machinery 20% using the straight line basis; while office furniture 10% using the reducing balance basis. Both assets are calculated on the assets in existence at the end of each financial year irrespective of the date of purchase. Required: Show extracts of the following for years ended 31 December 2020: (i) Income Statement (extract) (6 marks) (ii) The non-current assets section of the Balance Sheet (9 marks) (b) A business receives the May telephone account prepaid for RM3,950 during June 2020. During the period to June 2020 the business paid RM33,000 in respect of telephone of which RM360 represented telephone expense unpaid at 30 June 2020. The business also earns commission from the sales of one item. It received in the month to 30 June 2020 RM11,000; Its owing at 31 May 2020 RM500 and at 30 June 2020 RM820. ACC1112 (F) / Page 4 of 4 Required: Show the relevant extracts of the following for the month of June 2020: Income Statement (extract) (4 marks) (iv) Balance Sheet (extract) (6 marks) (Total 25 marks)