Question 1 After working for 5 years with a construction company, Thomas gained sufficient experience and contacts and decided to start his own company. The company TMA Pte Ltd, was set up on 1 January 20X3 to provide construction services. The followings were the transaction for the month of January 20X3. (1) 1-Jan John invested $100,000 cash along with equipment worth $65,000 into the business. (2) 1-Jan The company paid $36,000 for the rental of the office for a year. (3) 3-Jan The company made a down-payment of $1,000 to purchase additional equipment costing $9,000. The equipment will be delivered a week later. (4) 7-Jan The company purchased $4,300 of supplies on credit. (5) 10-Jan The equipment was delivered and the company settled the remaining outstanding amount. (6) 11-Jan The company completed a job amounting to $13,000. The customer paid $5,000 and will pay the remaining amount within 1 month. (7) 14-Jan The company received $6,000 from a customer for service to be performed the next week. (8) 17-Jan The company quoted for a job amounting to $7,500. The customer accepted the quotation, and the job will be done in mid-February. (9) 21-Jan The job in transaction (7) was completed. (10) 24-Jan The customer in transaction (6) paid $2,000 to the company. (11) 25-Jan The company received utility bill of $780. (12) 31-Jan Total salaries for the month amounted to $8,600. (13) 31-Jan The depreciation for the equipment was determined to be $860. (14) 31-Jan The supplies at the end of the month was $370.

Required: (a) Analyse the transactions to present the journal entries and apply accrual concepts to prepare the adjusting journal entries for TMA Pte Ltd for the month ending 31 January 20X3.

(b) Show the T-account for cash. (7 marks) (c) Prepare the trial balance of TMA Pte Ltd as at 31 January, 20X3. (9 marks) (d) From the trial balance, prepare: (i) The Income Statement for the month ending 31 January, 20X3. (9 marks) (ii) The Statement of Financial Position as at 31 January, 20X3.