Zombie Berhad has the following trial balance at 31 December 2021: RM RM 7,602,504 Revenue Purchases 730,600 Returns inwards 208,000 Plant at cost 10,712,000 Machinery at cost 4,940,000 Office equipment at cost 4,680,000 Accumulated depreciation-- Plant 936,000 988,000 520,000 629,200 Accounts payable Long-term borrowing 1,040,000 Accounts receivable 2,191,072 Inventory 218,400 Cash and bank 358,904 Administration expenses 520,000 Long term borrowing interests 26,000 Salaries and wages 252,720 Marketing expenses 208,000 Discount allowed 72,800 Share capital 8,320,000 4,602,208 Retained profits as at 1 Jan 2021 General Reserve 480,584 Total 25.118.496 25.118.496 Additional information: • Inventory as at 31 December 2021 was RM447,200. Provision for company tax was RM429,520. • Depreciation 20% on cost per annum based on monthly pro rata basis to all non- current assets. • Share capital: RM7,800,000 ordinary shares and RM520,000 4% preference shares. • Ordinary share dividend proposed to be 6%. • Long term borrowing interest where half year interest still owing. Required: Prepare Statement of Comprehensive Income and Statement of Financial Position as at 31 Dec 2021. -- Machinery -- Office equipment

Zombie Berhad has the following trial balance at 31 December 2021: RM RM 7,602,504 Revenue Purchases 730,600 Returns inwards 208,000 Plant at cost 10,712,000 Machinery at cost 4,940,000 Office equipment at cost 4,680,000 Accumulated depreciation-- Plant 936,000 988,000 520,000 629,200 Accounts payable Long-term borrowing 1,040,000 Accounts receivable 2,191,072 Inventory 218,400 Cash and bank 358,904 Administration expenses 520,000 Long term borrowing interests 26,000 Salaries and wages 252,720 Marketing expenses 208,000 Discount allowed 72,800 Share capital 8,320,000 4,602,208 Retained profits as at 1 Jan 2021 General Reserve 480,584 Total 25.118.496 25.118.496 Additional information: • Inventory as at 31 December 2021 was RM447,200. Provision for company tax was RM429,520. • Depreciation 20% on cost per annum based on monthly pro rata basis to all non- current assets. • Share capital: RM7,800,000 ordinary shares and RM520,000 4% preference shares. • Ordinary share dividend proposed to be 6%. • Long term borrowing interest where half year interest still owing. Required: Prepare Statement of Comprehensive Income and Statement of Financial Position as at 31 Dec 2021. -- Machinery -- Office equipment

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The following trial balance was extracted from the ledger of Juliana at 31 December 2020.JulianaTrial Balance as at 31 December 2020RMRMLand at cost26,000Plant at cost83,000Accumulated Depreciation at 1 January 2020- Plant13,000Office Equipment33,000Accumulated Depreciation at 1 January 2020Office Equipment8,000Receivables198,000Payables52,000Sales763,000Purchases516,000Returns inwards47,000Discount allowed4,000Capital at 1st January 2020230,000Drawings14,000Provision for doubtful debts at 1 January 202023,000Salaries Expense44,000Administration costs38,000Bank75,000Bad debts written off77,000Inventory at 1 January 202084,0001,164,0001,164,000Additional information: Closing inventory is RM74,000. Depreciation on plant is charged at 10% per annum on cost. Depreciation on office equipment is charged at 20% per annum using the reducing balance method. Administration costs include insurance prepaid of RM3,000. Salary accrued amount to RM2,000. The allowance for receivables is to…
A computer is sold on 1 June 2022. The details are as follows: (i) Cost $11,000 (being $10,000 plus $1000 GST) (ii) Accumulated Depreciation 1/7/2021 $4,000 (iii) Depreciation Method - Prime cost, 24% (iv) Consideration/sale proceeds of $3,000 (GST excl) which has been posted already from client to the computer asset account and has to be re-allocated). Prepared the required entries to correctly accouny for the disposal including depreciation up to the time of sale.
The components of the cost of a major item of equipment are given below.GHSPurchase price 780,000Import duties 117,000VAT (refundable) 78,000Site preparation 30,000Installation costs 28,000Pre-production costs 18,000Initial operating losses before the asset reaches planned performance 50,000Estimated cost of dismantling and removal of the asset, recognized as a provision under IAS 37 Provisions,Contingent Liabilities and Contingent Assets 100,0001,201,000In accordance with IAS 16 Property, Plant and Equipment, what amount should be recognized as the cost of the asset?
4. Prepare journal entry on January 1, 2027 to record the return of the machinery to the lessor. Assume thefair value of the asset is P300,000
An equipment cost 900,000 with depreciation to date of 400,000 at December 31.2019. Management project It's present value of the future cash flow to be 300,000. An appraiser indicate the machine will likely to sell for 322,000 net of a 15% transaction fee. What is the journal entry to record impairment if any for December 31,2019.
The components of the cost of a major item of equipment are given below. GHS Purchaseprice 780,000 Import duties 117,000VAT (refundable) 78,000 Site preparation 30,000 Installation costs 28,000 Pre-production 18,000 Initial operating losses before the asset reaches planned performance…
An equipment had a cost of $900,000 with a depreciation amount of $400,000 as at December 31, 2019. Management projects the fair value to be $300,000. An appraiser predicts that the equipment would likely to sell for $322,000 net of 15% transfer fee. What is the journal entry for December 31, 2019 for impairment if any.
On 30 June 2021, the carrying amounts of the assets of a CGU are as follows: Assets Cash $10,000 $30,000 ($5,000) $50,000 $200,000 (S80,000) $400,000 ($120,000) $25,000 Accounts Receivable Allowance for doubtful debts Inventories Machinery Accumulated depreciation - machinery Building Accumulated depreciation - building Goodwill Additional information on 30 June 2021: The recoverable amount of the unit is assessed to be $460,000. The receivables are considered to be collectable, except those considered doubtful. The fair value of building is $265,000. Required: Prepare all necessary journal entries to record the impairment loss of the CGU for the year ended 30 June 2021.lgnore any tax effect.
The following information is available about Company DEF's depreciable assets on January 1, 2019 (numbers are in € millions): Original Cost € 50,000 Depreciable Base € 47,500 Accumulated Depreciation (1/1/2019) € 28,500 Depreciable Life 10 years An analyst believes that the above described estimates do not reflect the underlying economic depreciation of Company DEF's assets. As a result, the analyst wants to adjust Company DEF's financial statements based on his own estimates. While the analyst assumes that the residual value assumption of Company DEF is correct, the analyst adjusts the depreciable life of the asset. In adjusting the financial statements of Company DEF, the analyst decreases the 1/1/2019 accumulated depreciation by €10687.5. What is the depreciable life (in years) that the analyst uses in adjusting Company DEF's financial statements?
On December 31, 2020, you are provided with the following information about the PPE of DEF Corp.: cost est. useful life depreciation method bldg 12,000,000 30 straight line machinery 5,000,000 10 SYD equipment 800,000 5 Double declining All PPE were acquired on January 1, 2018 when the business started operations, and havea residual value equal to 5% of cost.Determine the following on December 31, 2020:1. Accumulated Depreciation of building2. Carrying amount of building3. Accumulated Depreciation of machinery4. Carrying amount of machinery5. Accumulated Depreciation of equipment6. Carrying amount of equipment SUBPARTS 4 5 6 ONLY
On December 31, 2020, you are provided with the following information about the PPE of DEF Corp.: cost est. useful life depreciation method bldg 12,000,000 30 straight line machinery 5,000,000 10 SYD equipment 800,000 5 Double declining All PPE were acquired on January 1, 2018 when the business started operations, and havea residual value equal to 5% of cost.Determine the following on December 31, 2020:1. Accumulated Depreciation of building2. Carrying amount of building3. Accumulated Depreciation of machinery4. Carrying amount of machinery5. Accumulated Depreciation of equipment6. Carrying amount of equipment
9. These are the books of Riya Distributers as at 28 February 2021. Equipment R20 000, Accumulated Depreciation R16 000. Depreciation is calculated at 20% p. a. on a diminishing method. An old equipment was disposed for R1 500 cash on 1 December 2020. The equipment originally costed R3 000. The Accumulated depreciation is R 700. The depreciation for the disposed equipment is A.R460 B.R345 C.R225 D.R92 10. These are the books of Riya Distributers as at 28 February 2021. Equipment R20 000, Accumulated Depreciation R16 000. Depreciation is calculated at 20% p. a. on a diminishing method. An old equipment was disposed for R1 500 cash on 1 December 2020. The equipment originally costed R3 000. The Accumulated depreciation is R 700. The profitloss for the disposed equipment is A.Profitloss R300 B.Profit/loss R92 C.Profit/loss R455 D.Profit/loss R460