View - Last saved by user - Saved to this PC- Search ferences Mailings Review View Help Below are the Trial Balance of Emotion Enterprise extracted from the books of the head office and the branch as at 30 June 2019: Head Office Branch RM RM RM RM Account Receivables 56,170 13,340 Account Payables 18,000 36,300 Fixtures and fittings 100,000 14,000 Head Office current account 18,138 Land and building 155,000 110,000 Motor vehicles 80,000 40,000 Accumulated depreciation: Fixtures and fittings 20,000 Motor vehicles 2,800 4,000 8,000 Legal expenses Administration expenses 1,880 700 8,200 10,100 Bank 13,208 3,520 Allowance for unrealised profit (1 July 2018) Purchases/Sales 1,308 50,000 256,460 170,510 Goods from head office 19,500 Goods sent to branch 21,000 Selling and distribution expenses 23,300 6,200 Inventories as at 1 July 2018 16.680 14,388 Capital 201,308 Branch current account 21,638 526,076 526,076 231,748 231,748 D. Focu Mailings Review View Help Additional information: 1. Goods are sent to branch at cost plus 10%. The branch maintains its own ledgers and is allowed to purchase from local supplier. 2. Depreciation is to be provided on fixtures and fittings at 20% per annum and motor vehicles at 10% per annum, using straight line method. EAB10503_Financial Accounting and Reporting 1 Page 7 of 10 SEPTEMBER 2020 CONFIDENTIAL L 3. Branch stock, taken on 30 June 2019, revealed a shortage of RM550 at transfer price. 4. As at 30 June 2019, goods sent by the head office amounted to RM1,500 was only received by the branch on 5 July 2019. 5. The branch deposited a cheque of RM2,000 to the head office on 30 June 2019 but has not yet received by head office until 3 July 2019. 6 The head office closing inventories are valued at cost RM30,000, while for the branch, its closing inventories are valued at transfer price RM15,000. 7 Included in the administration expenses of the branch was an amount of RM700 to be charged to the head office. No entry had been made in both books. Required: Required: a Prepare Statement of Profit or Loss for the head office, branch and business as a whole for the year ended 30 June 2019 (in columnar form). (14 marks) b. Prepare the Combined Statement of Financial Position as at 30 June 2019. (6 marks) [20 marks]