STUDENT ID# ATTEMPT ALL QUESTIONS Question 1 (CLO 3) - Estimated time 40 minutes The following Trial Balance was extracted from the books of Joe Manufacturing Enterprise on December 31, 2016: Details/Accounts Drs Crs Accounts receivable 10,000,000 Work-in-progress, January 1, 2016 3.000.000 Machinery 15,000,000 Provision for depreciation machinery 5.000.000 Direct expenses 4.000.000 Furniture & fittings 5.000.000 Cash 12.000.000 Direct wages 16,000,000 Sales net of returns 105,000,000 Capital 43,000,000 Administrative expenses 15,000,000 Finished goods, January 1, 2016 12,000,000 Purchases of direct raw materials 20,000,000 Factory expenses 18,000,000 Drawings 2,000,000 Provision for unrealized profit 2.000.000 Direct raw materials. January 1, 2016 13,000,000 Accounts payable 4.000.000 Motor vehicles 20,000,000 Accumulated depreciation motor vehicles 6.000.000 Total 165.000.000 165.000.000 Additional information: (1) On December 31, 2016, S200,000 was owed for rent while $100,000 was paid for insurance that related to January 2017. Rent and insurance are both treated as administrative expense (ii) Closing inventories on December 31, 2016 were: Direct raw materials $9,000,000; work-in-progress $4,000,000; and finished goods $15,000,000 (iii) Depreciation is to be provided for as follows: furniture and fittings 10% straight line; plant and machinery 10% straight line; motor vehicles 10% reducing balance. (iv) The motor vehicles are used seventy five percent of the time by the factory. (v) The company adds 20% mark up to its cost of production. See requirements on next page. STUDENT ID# Required: (2) A Manufacturing. Trading and Profit and Loss Account for the period ending December 31, 2016. (30 marks) (b) Show the net book values of the following items as they would appear in the Balance Sheet on December 31, 2016: (SHOW WORKINGS WHERE NECESSARY) 1) Machinery Motor vehicles. (iin Finished goods. (iv) Insurance. (v) Rent. Total marks: 40 marks (2 marks) (2 marks) (2 marks) (2 marks) (2 marks)