QUESTION 4 The following Trial Balance was extracted from the books of Mega Enterprise as at 31 December 2020. Particulars Debit (RM) Credit (RM) Capital 215,000 Duty on purchases 2,300 Insurance 4,200 Stationery 1,800 Inventory as at 1 January 2020 70,000 Interest on loan 2,500 Accounts Receivable and Accounts Payable 25,000 24,500 Purchases and Sales 200,000 280,000 Land and Building 265,550 Return Inwards and Return Outwards 2,300 1,850 Accumulated Depreciation as at 1January 2020: -Office Equipment 9,850 -Motor Vehicles 50,000 10% loan from BIMB 250,000 Cash 7,400 Allowance for Doubtful Debt 3,250 10% Fixed Deposit 10,000 Discount Allowed and Discount Received 2,500 5,000 Carriage Expenses 8,200 Utilities 1,500 Bank 40,000 Office Equipment 28,000 Salary and Wages 25,000 Motor Vehicles 140,000 Drawings 3,000 General Expenses Commissions Rental Received 3,500 3,800 5,800 1,300 846,550 846,550 Additional information: 1. Inventory as at 31 December 2020 was RM 60,000. 2. Included in the carriage expenses is carriage inwards amounting to RM1,320. 3. During the year, the owner contributed additional capital of RM 12,000 cash. This has not been recorded anywhere in the books of accounts. 4. Depreciation for the year are to be provided as follows: Office Equipment Motor Vehicle 10% on cost, yearly basis 20% on net book value, yearly basis 5. Allowance for doubtful debt is estimated at 5% of the total outstanding of account receivables. One of the debtors owing an amount of RM 620 was declared bankrupt and the amount has to be written off as bad debt. 6. Fixed deposit was invested on 1 July 2020. The half year interest was not yet received. 7. One of the employees was given an advanced salary of RM700 and no record has been made in the book of accounts. 8. The owner took goods worth RM2,000 and cash RM1,500 for personal use. 9. The following expenses are still outstanding as at 31 December 2020. -General Expenses -Utilities Required: RM600 RM250 a. Prepare Statement of Profit and Loss for the year ended 31 December 2020. b. Prepare Statement of Financial Position as at 31 December 2020. (30 marks)