During the reviewing of the accounting records of Hokomo Antiques, owned by Rahim. As the newly...

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During the reviewing of the accounting records of Hokomo Antiques, owned by Rahim. As the newly appointed accountant, you have uncovered the following situations. i. iii. iv. V. In April, a cheque for RM500 was written to Mumy Day Care Center. This amount represents child care for his son. Rahim plans a Going Out of Business Sale for May, since he will be closing his business for a month-long vacation in June. He plans to reopen on 1 July and will continue operating Hokomo Antiques indefinitely. Rahim received a shipment of pine furniture from Shanghai, Republic of China. The invoice was stated in Renminbi. A customer paid RM1,500 for a dining table. The amount was recorded as revenue. The table will be delivered to the customer in six weeks. Two years ago, Rahim bought a motor vehicle worth RM30,000 for business purpose. It is recorded as RM15,000 which is the market value today. Required: Compose a memo to Rahim. Cite the appropriate accounting principle and suggest an action for each separate item. During the reviewing of the accounting records of Hokomo Antiques, owned by Rahim. As the newly appointed accountant, you have uncovered the following situations. i. iii. iv. V. In April, a cheque for RM500 was written to Mumy Day Care Center. This amount represents child care for his son. Rahim plans a Going Out of Business Sale for May, since he will be closing his business for a month-long vacation in June. He plans to reopen on 1 July and will continue operating Hokomo Antiques indefinitely. Rahim received a shipment of pine furniture from Shanghai, Republic of China. The invoice was stated in Renminbi. A customer paid RM1,500 for a dining table. The amount was recorded as revenue. The table will be delivered to the customer in six weeks. Two years ago, Rahim bought a motor vehicle worth RM30,000 for business purpose. It is recorded as RM15,000 which is the market value today. Required: Compose a memo to Rahim. Cite the appropriate accounting principle and suggest an action for each separate item.

Answer rating: 100% (QA)

Memo to Rahim owner of Hokomo Antiques Subject Accounting Review Findings and Recommendations Dear Rahim I hope this memo finds you well As the newly appointed accountant for Hokomo Antiques I have re... View the full answer