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AM Enterprise, a merchandising business, has been in operation for a few years. The business used the perpetual inventory system in its transaction recording. Below is the business's Trial Balance as at 31 December 2019: AM Enterprise Trial Balance as at 31 December 2019 Debit Credit M M Cash 1 7,500
Question (a) Prepare journal entries to record the above transactions and adjustment.
Question (b) Prepare Statement of Profit or Loss and Other Comprehensive Income (multiple step) for the month ended 31 January 2020 and Statement of Financial Position as at 31 January 2020.
Question (c) Explain the difference between the nature of AM Enterprise as a merchandise business and EDC Hotels and Resorts as a service business.
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