1. Cost of goods sold included: Attempted: 0/1 Attempted: 0/1 Moolan Enterprise, owned by Moolan, is...

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1. Cost of goods sold included: Attempted: 0/1 Attempted: 0/1 Moolan Enterprise, owned by Moolan, is in the business of trading in beauty equipment, with an accounting year end of 31 December. Most of the equipments are imported from Japan. The information below is an extract of the business's income statement for the year ended 31 December 2021: MYR Massage equipment taken by Moolan for personal use 5,200 It is normal for the business to earn a gross profit margin of 20% from the sale of massage equipment. 2. Office equipment purchased on 15 April 2019 at a cost of MYR50,000 was disposed off on 10 March 2021 for a sale proceeds of MYR48,000. 3. Depreciation of non-current assets was calculated as follow: Sales of beauty equipment Less: Cost of goods sold Note 1 MYR 2,500,000 1,800,000 700,000 Gross profit Add: Other income Interest received from bank fixed deposit Insurance compensation received for damage of massage equipment 8,300 55,000 Gain from disposal of office equipment 2 8,000 771,300 Less: Expenses Staff salaries (including MYR25,000 paid to disabled employees) Office rental 198,000 12,000 Depreciation of non-current assets 3 19,500 Utilities 6,000 Insurance premium paid to GEIns Sdn Bhd for import of facial 10,000 equipment from Tokyo Cha Foreign exchange loss 4 25,000 Type of assets Date of purchase Cost of Depreciation rate purchase (straight line) Depreciation expense (MYR) (MYR) Furniture 12 June 2017 15,000 10% 1,500 Office equipment Delivery van 15 July 2021 20,000 10% 2,000 22 August 2018 80,000 20% 16,000 Chat No (MTK) Furniture 12 June 2017 15,000 10% 1,500 Office 15 July 2021 20,000 10% 2,000 equipment Delivery van 22 August 2018 80,000 20% 16,000 Total 115,000 19,500 Depreciation policy: Non-current assets purchased during the year will be depreciated for full year, while no depreciation will be charged on assets disposed during the year. 4. Foreign exchange loss is made up as follow: Realised foreign exchange loss Unrealised foreign exchange loss MYR 20,000 5,000 Note Sales of beauty equipment Less: Cost of goods sold 1 MYR 2,500,000 1,800,000 Gross profit 700,000 Add: Other income Interest received from bank fixed deposit Insurance compensation received for damage of massage 8,300 55,000 equipment Gain from disposal of office equipment 2 8,000 771,300 Less: Expenses Staff salaries (including MYR25,000 paid to disabled employees) Office rental 198,000 12,000 Depreciation of non-current assets 19,500 Utilities 6,000 Insurance premium paid to GEIns Sdn Bhd for import of facial equipment from Tokyo 10,000 Foreign exchange loss 4 25,000 Required: Net profit 500,800 (a) (b) Compute the capital allowance eligible to be claimed by Moolan Enterprise for the year of assessment of 2021. [2 marks] Compute the total income of Moolan for the year of assessment 2021. Note: You should indicate by the use of the word 'Nil' for any item referred to in the question for which there is no tax implication. Any tax balances to be carried forward should be reported. Round up the amount to the nearest MYR. [11 marks] 1. Cost of goods sold included: Attempted: 0/1 Attempted: 0/1 Moolan Enterprise, owned by Moolan, is in the business of trading in beauty equipment, with an accounting year end of 31 December. Most of the equipments are imported from Japan. The information below is an extract of the business's income statement for the year ended 31 December 2021: MYR Massage equipment taken by Moolan for personal use 5,200 It is normal for the business to earn a gross profit margin of 20% from the sale of massage equipment. 2. Office equipment purchased on 15 April 2019 at a cost of MYR50,000 was disposed off on 10 March 2021 for a sale proceeds of MYR48,000. 3. Depreciation of non-current assets was calculated as follow: Sales of beauty equipment Less: Cost of goods sold Note 1 MYR 2,500,000 1,800,000 700,000 Gross profit Add: Other income Interest received from bank fixed deposit Insurance compensation received for damage of massage equipment 8,300 55,000 Gain from disposal of office equipment 2 8,000 771,300 Less: Expenses Staff salaries (including MYR25,000 paid to disabled employees) Office rental 198,000 12,000 Depreciation of non-current assets 3 19,500 Utilities 6,000 Insurance premium paid to GEIns Sdn Bhd for import of facial 10,000 equipment from Tokyo Cha Foreign exchange loss 4 25,000 Type of assets Date of purchase Cost of Depreciation rate purchase (straight line) Depreciation expense (MYR) (MYR) Furniture 12 June 2017 15,000 10% 1,500 Office equipment Delivery van 15 July 2021 20,000 10% 2,000 22 August 2018 80,000 20% 16,000 Chat No (MTK) Furniture 12 June 2017 15,000 10% 1,500 Office 15 July 2021 20,000 10% 2,000 equipment Delivery van 22 August 2018 80,000 20% 16,000 Total 115,000 19,500 Depreciation policy: Non-current assets purchased during the year will be depreciated for full year, while no depreciation will be charged on assets disposed during the year. 4. Foreign exchange loss is made up as follow: Realised foreign exchange loss Unrealised foreign exchange loss MYR 20,000 5,000 Note Sales of beauty equipment Less: Cost of goods sold 1 MYR 2,500,000 1,800,000 Gross profit 700,000 Add: Other income Interest received from bank fixed deposit Insurance compensation received for damage of massage 8,300 55,000 equipment Gain from disposal of office equipment 2 8,000 771,300 Less: Expenses Staff salaries (including MYR25,000 paid to disabled employees) Office rental 198,000 12,000 Depreciation of non-current assets 19,500 Utilities 6,000 Insurance premium paid to GEIns Sdn Bhd for import of facial equipment from Tokyo 10,000 Foreign exchange loss 4 25,000 Required: Net profit 500,800 (a) (b) Compute the capital allowance eligible to be claimed by Moolan Enterprise for the year of assessment of 2021. [2 marks] Compute the total income of Moolan for the year of assessment 2021. Note: You should indicate by the use of the word 'Nil' for any item referred to in the question for which there is no tax implication. Any tax balances to be carried forward should be reported. Round up the amount to the nearest MYR. [11 marks] 1. Cost of goods sold included: Attempted: 0/1 Attempted: 0/1 Moolan Enterprise, owned by Moolan, is in the business of trading in beauty equipment, with an accounting year end of 31 December. Most of the equipments are imported from Japan. The information below is an extract of the business's income statement for the year ended 31 December 2021: MYR Massage equipment taken by Moolan for personal use 5,200 It is normal for the business to earn a gross profit margin of 20% from the sale of massage equipment. 2. Office equipment purchased on 15 April 2019 at a cost of MYR50,000 was disposed off on 10 March 2021 for a sale proceeds of MYR48,000. 3. Depreciation of non-current assets was calculated as follow: Sales of beauty equipment Less: Cost of goods sold Note 1 MYR 2,500,000 1,800,000 700,000 Gross profit Add: Other income Interest received from bank fixed deposit Insurance compensation received for damage of massage equipment 8,300 55,000 Gain from disposal of office equipment 2 8,000 771,300 Less: Expenses Staff salaries (including MYR25,000 paid to disabled employees) Office rental 198,000 12,000 Depreciation of non-current assets 3 19,500 Utilities 6,000 Insurance premium paid to GEIns Sdn Bhd for import of facial 10,000 equipment from Tokyo Cha Foreign exchange loss 4 25,000 Type of assets Date of purchase Cost of Depreciation rate purchase (straight line) Depreciation expense (MYR) (MYR) Furniture 12 June 2017 15,000 10% 1,500 Office equipment Delivery van 15 July 2021 20,000 10% 2,000 22 August 2018 80,000 20% 16,000 Chat No (MTK) Furniture 12 June 2017 15,000 10% 1,500 Office 15 July 2021 20,000 10% 2,000 equipment Delivery van 22 August 2018 80,000 20% 16,000 Total 115,000 19,500 Depreciation policy: Non-current assets purchased during the year will be depreciated for full year, while no depreciation will be charged on assets disposed during the year. 4. Foreign exchange loss is made up as follow: Realised foreign exchange loss Unrealised foreign exchange loss MYR 20,000 5,000 Note Sales of beauty equipment Less: Cost of goods sold 1 MYR 2,500,000 1,800,000 Gross profit 700,000 Add: Other income Interest received from bank fixed deposit Insurance compensation received for damage of massage 8,300 55,000 equipment Gain from disposal of office equipment 2 8,000 771,300 Less: Expenses Staff salaries (including MYR25,000 paid to disabled employees) Office rental 198,000 12,000 Depreciation of non-current assets 19,500 Utilities 6,000 Insurance premium paid to GEIns Sdn Bhd for import of facial equipment from Tokyo 10,000 Foreign exchange loss 4 25,000 Required: Net profit 500,800 (a) (b) Compute the capital allowance eligible to be claimed by Moolan Enterprise for the year of assessment of 2021. [2 marks] Compute the total income of Moolan for the year of assessment 2021. Note: You should indicate by the use of the word 'Nil' for any item referred to in the question for which there is no tax implication. Any tax balances to be carried forward should be reported. Round up the amount to the nearest MYR. [11 marks]

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Here are the stepwise calculations for the net profit 1 Gross profit Sales of beauty equipmen... View the full answer