Question The following information has been extracted from the books of Tuhan Bhd, a limited liability company as at 31 October 2018. Accounts Debit RM'000 Credit RM'000 Cash 15 Insurance 75 Inventory at 1 November 2017 350 General expenses Energy expenses Marketing expenses 60 66 50 Wages and salaries Discount received Share premium account 675 50 200 Retained earnings at 1 November 2017 Provision for doubtful debts at 1 November 2017 315 40 Sales revenue Telephone expenses Property expenses Bank Return inward 5,780 80 100 94 95 Trade payables Loan note interest 290 33 Trade receivables Purchases 7% loan notes bad debts 900 3,570 470 150 Buildings Motor vehicles Ordinary shares @RM1 per share Accumulated depreciation at 1 November 2017: Furniture and equipment 1,800 360 80 420 Land at cost Buildings at cost Motor vehicles at cost 740 1,500 240 1,200 9,899 9,899 Furniture and equipment at cost You have also been provided with the following information: 1. Inventory at 31 October 2018 was valued at RM275,000 based on its original cost. However RM45,000 of this inventory has been in the warehouse for over two years and the directors have agreed to sell it in November 2016 for a cash price of RM20,000 (Events after reporting period). 2. The marketing expenses include RM5,000 which relates to November 2018. 3. Based on past experience the allowance for receivables is to be increased to 5% of trade receivables. 4. There are wages and salaries outstanding of RM40,000 for the year ended 31 October 2018. 5. Buildings are depreciated at 5% of cost. At 31 October 2018, the buildings were professionally valued at RM1,800,000 and the directors wish this valuation to be incorporated into the accounts. 6. Depreciation is to be charged as follows: 1. Motor vehicles at 20% of written down value. 2. Furniture and equipment at 20% of cost. 7. No dividends have been paid or declared. 8. Tax of RM150,000 is to be provided for the year. 9. During October 2018 a bonus issue of one for ten shares was made to ordinary shareholders. This has not been entered into the books. The share premium account was used for this purpose. Required: Prepare the following statements: (a) (b) The Statement of comprehensive income for the year ended 31 October 2018. The statement of finacial position as at 31 October 2018.