Reference no: EM132569553
Question 1 - Given below is a Trial Balance of Aliba Trading on 30 June 2019.
Aliba Trading Trial Balance as at 30 June 2019
Debit Credit
RM RM
Building 60,000
Fixtures and fittings 12,000
Office equipment 10,000
Inventory (1 July 2018) 13,500
Bank 3,450
Cash 2,340
Debtors and creditors 6,300 8,500
Loans 15,000
Capital 70,000
Drawings 1,250
Purchases 51,150
Sales 72,500
Sales returns 900
Purchase returns 400
Carriage inwards 1,100
Purchase discount 680
Sales discount 400
Wages expense 8,000
Interest expense 1,500
Commission received 1,350
Insurance expense 1,880
Repairs and maintenance expense 1,560
171,880 171,880
Aliba Trading has the following additional information for the accounting period ended 30 June 2019.
Stock count revealed that inventory on 30 June 2019 is valued at RM14,300 at cost and RM16,000 at market value.
Aliba Trading declared a bonus of half-month pay to reward all permanent employees on 30 June 2019. The bonus results in a total of RM4,000 in wages, which will be paid in August 2019.
Commission received is for the period June to August 2019.
Insurance purchased is valid from 1 January to 31 December 2019.
Required -
a) Prepare journal entries to account for all year-end adjustments.
b) Prepare a Statement of Comprehensive Income for the year ended 30 June 2019 showing clearly the cost of sales.
c) Prepare a Balance Sheet as at 30 June 2019.