Do question 1 c) & question 2 a) only

Quetion 1 Ms. Nice B a sole trade and you are given the following information relating to her Dr Trial balance sa 30 September 2010 RM RM 19.184 464,020 20.005 33.749 Inventory as at 1 October 2019 Wages & salaries Sales Camage inwards Rent Gas Purchases Accounts receivable Account payable Machinery . Computers: al cost Machinery: accumulated depreciation at October 2019 Computers: accumulated depreciation October 2019 Drawings Bank Bad debt expense Allowance for doubtful debts at 1 October 2019 Capital 97,080 77.580 54,600 34.102 1.857 14408 192.319 $40,401 146,401 Additional Information: 1. The inventory was counted at 30 September 2020 and was valued at RM16.491. 2. Depreciation is to be applied at the following rates. Machinery: (reducing balance) 156 Computers, straight line) 3. The amount shown for rent on the trial balance include a payment of RM10.500. whuch represents twelve monks' Tent to 31 May 2021 4. Ga charges incurred ich meinestadt. Bisedamoup 2 Total R$ 3. The allowance for doubtful detto per cent of counts receivable Required: Ta l'ienare Statement of Pater Lusslor the year olding 10 September 2020 111 11 Aulevant working in (c) Ms. Nice has heard about the treatment of non-current assets which she thinks is 'consumables'. She wonders if her computers could be treated as consumables and not depreciated. Write a letter to Ms. Nice, using fictitious names and addresses, to answer her query (5 marks) [Total: 25 Marks) Question 2 (a) Explain with reasons, whether you think the idea that inventory should be included in accounts at the lower of cost or net realisable value is a useful one. Refer to at least two classes of users of financial accounting reports in your