Question 4 Maxim Sdn Bhd commenced business as kitchenware manufacturing on 1 January 2013. For the purpose of depreciation, Maxim Sdn Bhd decided the following. Acquisition of a piece of land worth RM2,000,000 would not be depreciated. (ii) Factory building worth RM300,000 would be depreciated by the straight line method to a nil residual value over 30 years. On 1 January 2018, the board of directors decided to revalue its assets after consulted property valuers as following:- Land - RM2,500,000 Factory building - RM450,000 The factory building is estimated still has further 25 years useful life remaining. Required: (a) Calculate the annual charge for depreciation for the first five years of the building's life and the statement of financial position value of the land and building as at the end of each of the first five years. [5 marks] (b) Demonstrate the impact the revaluation will have on the depreciation charge and the statement of financial position value of the land and building. [3 marks] Question 5 Maxim Sdn Bhd bought a machine for RM100,000 and sold the machine for RM40.000 in cash, after having compiled RM65,000 of accumulated depreciation. Required: Prepare the journal entries to record the disposal of machine. [8 marks) 6