Required to prepare:
1.Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2021 (show your working).
2. Statement of Financial Position as at 31 December 2021 (show your working).
Question 1 and 2 are related to Syarikat Kundasang Berhad. Both questions should be answered together. Below is the relevant information regarding Syarikat Kundasang Berhad, a listed (i) The company uses the method of First in First out (FIFO) for valuing its inventories. The net realizable value of the closing inventories is RM250,000. (ii) Operating expenses included the following charges: Depreciation: Building Plant and machinery 2% on cost 10% on cost (iii) Ronaldo, one of the customers was declared bankrupt due to unstable financial economic. As such his debt of RM9,500 is to be written off. The allowance for doubtful debt is to be set at 4%. Allowance for discount allowance is to be provided at 6%. (iv) The tax expense for the year was estimated at RM300,000. (v) Prepaid administration expenses include for the month of January 2022 amounting RM50,000. (vi) The land was revalued to RM9,800,000 by an independent professional valuer. The directors have decided to incorporate the new value in the accounts and to revalue land every three years. The company has no intention to dispose of the land. (vii) Interest on bank loan need to be provided for the current period. The amount remains outstanding until year end closing. (viii) Final dividend of RM216,000 was declared by board of directors. Question 1 and 2 are related to Syarikat Kundasang Berhad. Both questions should be answered together. Below is the relevant information regarding Syarikat Kundasang Berhad, a listed (i) The company uses the method of First in First out (FIFO) for valuing its inventories. The net realizable value of the closing inventories is RM250,000. (ii) Operating expenses included the following charges: Depreciation: Building Plant and machinery 2% on cost 10% on cost (iii) Ronaldo, one of the customers was declared bankrupt due to unstable financial economic. As such his debt of RM9,500 is to be written off. The allowance for doubtful debt is to be set at 4%. Allowance for discount allowance is to be provided at 6%. (iv) The tax expense for the year was estimated at RM300,000. (v) Prepaid administration expenses include for the month of January 2022 amounting RM50,000. (vi) The land was revalued to RM9,800,000 by an independent professional valuer. The directors have decided to incorporate the new value in the accounts and to revalue land every three years. The company has no intention to dispose of the land. (vii) Interest on bank loan need to be provided for the current period. The amount remains outstanding until year end closing. (viii) Final dividend of RM216,000 was declared by board of directors
