RKAL3023 PUBLIC SECTOR ACCOUNTING QUESTION 3 (25 MARKS: 45 MINUTES) A. The Controlling Officer is fully responsible for the management of public money allocated to their organization. This responsibility includes maintenance of Vote books and records in an efficient and effective manner as prescribed by the Treasury Instruction No. 95 and Treasury Circular No. 8/1987. As an accountant in the District Office of Merida you are required to update the Vote Book by taking into account the following information: 1. On 1 January 2014, District Office of Merida has received funding from the State Government. However, the amount decreased by 20 percent from the previous year (2013: RM3,400,000). Of the total allocation in 2014, 50 percent was allocated for supplies and services expenditure (Code 20000). The following are details allocation for supplies and services expenditure for the year 2014: Code Expenditure 21000 Travelling 22000 Transportation 2300 ities 24000 Rental 26000 Supply of raw materials and materials for maintenance and repair 28000 Maintenance and minor repairs 29000 Professional services and other services acquired and hospitality Percentage of allocation from Supply and Services 15% 5% 25% 5% 5% 27% 18% 9 2. The following are transactions occurred during the month of January 2014: Date Transaction 1 Received allocation warrant No. AW1/14 2 Signed a contract agreement No. CA 24/14 with Syarikat Bianchi Sdn Bhd to maintain printing machine for 3 years that cost RM150,000 3 Issued Local Order No. L011/14 to Syarikat Shimano Sdn Bhd for supplying A4 paper amounted to RM5,000 Last year Commitment (Local Order No. LO245/13) of repair work on water pump in Zone A amounted to RM8,000 was approved by the Finance Committee to be carried forward 10 Issued Local Order No. L014/14 to Syarikat Nevada Sdn Bhd for changing engine oil (4 buses) that cost RM1000 each. 15 Received quotation from Syarikat Doere Travel Sdn Bhd for the Mayor's official visit to Perth, Australia amounted to RM20,000. Local Order No. 21/14 was issued on the same date. 15 Received and approved invoice No. IN17/14 amounted to RM4,600 from Syarikat Nevada Sdn Bhd (L014/14) and the detailed are as follow: BKAL3023 PUBLIC SECTOR ACCOUNTING 16 17 20 Change Engine Oil - RM4,200 Change one unit tyre for a bus KDL2400 - RM400 Voucher No. 10/14 was issued on the following day. A Local Order No. LO32/14 was issued to Syarikat MTB Sdn Bhd for the purpose of repairing Mayor's official car amounted to RM1,500 Warrant for transfer of allocation No. TA2/14 from code 28000 to 26000 amounted to RM20,000 Received and approved Invoice No. IN23/14 related to LO32/14 from Syarikat MTB Sdn Bhd. The detailed claims are as follow: Change engine oil - RM800 Labour Charge - RM100 A voucher No. VC15/14 amounted to RM900 was issued on 22 January 2014. Issued Local Order No. L042/14 to Syarikat Ritchey Sdn Bhd for repairing 3 unit of excavator amounted to RM2,000 each. A Voucher No. VC27/14 amounted to RM9,000 was issued under contract agreement No. CA 24/14 with Syarikat Bianchi Sdn Bhd Received and approved invoice No. IN41/14 amounted to RM4,000 from Syarikat Ritchey Sdn Bhd (L042/14) for repairing 2 excavators. Another excavator needed major repair and a separate invoice was issued. A Voucher No. 36/14 was issued on the same day. Received and approved invoice No. IN42/14 amounted to RM3.200 from Syarikat Ritchey Sdn Bhd (L042/14) for repairing an excavator that required major repair. Voucher No. 38/14 was issued on same day. 22 25 28 31 REQUIRED: (a) Record the transaction related to Maintenance and minor repairs (28000) in respective vote book as required by Treasury Instruction No. 95. (YOU ARE REQUIRED TO ANSWER USING THE TEMPLATE PROVIDED IN PAGE 8) (15 Marks) (b) Briefly explain FOUR (4) situations that required an accountant to reconcile the vote book. (4 Marks) 5 RKAL3023 PUBLIC SECTOR ACCOUNTING QUESTION 3 (25 MARKS: 45 MINUTES) A. The Controlling Officer is fully responsible for the management of public money allocated to their organization. This responsibility includes maintenance of Vote books and records in an efficient and effective manner as prescribed by the Treasury Instruction No. 95 and Treasury Circular No. 8/1987. As an accountant in the District Office of Merida you are required to update the Vote Book by taking into account the following information: 1. On 1 January 2014, District Office of Merida has received funding from the State Government. However, the amount decreased by 20 percent from the previous year (2013: RM3,400,000). Of the total allocation in 2014, 50 percent was allocated for supplies and services expenditure (Code 20000). The following are details allocation for supplies and services expenditure for the year 2014: Code Expenditure 21000 Travelling 22000 Transportation 2300 ities 24000 Rental 26000 Supply of raw materials and materials for maintenance and repair 28000 Maintenance and minor repairs 29000 Professional services and other services acquired and hospitality Percentage of allocation from Supply and Services 15% 5% 25% 5% 5% 27% 18% 9 2. The following are transactions occurred during the month of January 2014: Date Transaction 1 Received allocation warrant No. AW1/14 2 Signed a contract agreement No. CA 24/14 with Syarikat Bianchi Sdn Bhd to maintain printing machine for 3 years that cost RM150,000 3 Issued Local Order No. L011/14 to Syarikat Shimano Sdn Bhd for supplying A4 paper amounted to RM5,000 Last year Commitment (Local Order No. LO245/13) of repair work on water pump in Zone A amounted to RM8,000 was approved by the Finance Committee to be carried forward 10 Issued Local Order No. L014/14 to Syarikat Nevada Sdn Bhd for changing engine oil (4 buses) that cost RM1000 each. 15 Received quotation from Syarikat Doere Travel Sdn Bhd for the Mayor's official visit to Perth, Australia amounted to RM20,000. Local Order No. 21/14 was issued on the same date. 15 Received and approved invoice No. IN17/14 amounted to RM4,600 from Syarikat Nevada Sdn Bhd (L014/14) and the detailed are as follow: BKAL3023 PUBLIC SECTOR ACCOUNTING 16 17 20 Change Engine Oil - RM4,200 Change one unit tyre for a bus KDL2400 - RM400 Voucher No. 10/14 was issued on the following day. A Local Order No. LO32/14 was issued to Syarikat MTB Sdn Bhd for the purpose of repairing Mayor's official car amounted to RM1,500 Warrant for transfer of allocation No. TA2/14 from code 28000 to 26000 amounted to RM20,000 Received and approved Invoice No. IN23/14 related to LO32/14 from Syarikat MTB Sdn Bhd. The detailed claims are as follow: Change engine oil - RM800 Labour Charge - RM100 A voucher No. VC15/14 amounted to RM900 was issued on 22 January 2014. Issued Local Order No. L042/14 to Syarikat Ritchey Sdn Bhd for repairing 3 unit of excavator amounted to RM2,000 each. A Voucher No. VC27/14 amounted to RM9,000 was issued under contract agreement No. CA 24/14 with Syarikat Bianchi Sdn Bhd Received and approved invoice No. IN41/14 amounted to RM4,000 from Syarikat Ritchey Sdn Bhd (L042/14) for repairing 2 excavators. Another excavator needed major repair and a separate invoice was issued. A Voucher No. 36/14 was issued on the same day. Received and approved invoice No. IN42/14 amounted to RM3.200 from Syarikat Ritchey Sdn Bhd (L042/14) for repairing an excavator that required major repair. Voucher No. 38/14 was issued on same day. 22 25 28 31 REQUIRED: (a) Record the transaction related to Maintenance and minor repairs (28000) in respective vote book as required by Treasury Instruction No. 95. (YOU ARE REQUIRED TO ANSWER USING THE TEMPLATE PROVIDED IN PAGE 8) (15 Marks) (b) Briefly explain FOUR (4) situations that required an accountant to reconcile the vote book. (4 Marks) 5