SECTION A (20 MARKS) Answer ALL questions from this section. 1. Each of the scenarios set out below is concerned with an accounting topic which has been covered on BA1540. You are to provide advice on the issues presented. A. Scenario 1 The manager of Yang Ltd. a Malaysian company, is seeking your services in educating his new group of interns on some accounting concepts. The interns are unsure about how the following items will be treated on the statement of cash flows. You should clearly discuss each concept. it's place on the statement of cash flows and identify any additional information that will be required in arriving at an appropriate amount on the statement of cash ows. i. Credit Sales ii. Share premium iii. Acquisitions and disposal of non-current assets iv. Bank Overdraft v. Inventory (10 marks) B. Scenario 2 Pinte Ltd has just acquired IT equipment for a sum of $3 million. The accounting period for Pinte Ltd runs from January 1 to December 31 each year. The equipment was bought in the second half of the year on July 1, 20x1. Installation costs amounted to $300,000 and other costs to set up the equipment amounted to $700,000. The useful life of the equipment is estimated as 4 years with a salvage value of $500,000. Advise Pinte Ltd on how it should depreciate the non-current asset. You should use appropriate calculations to support your answer (for reducing balance use 40% per annum). You should also identify any other nancial and non-nancial considerations that Pinte Ltd must make in arriving at its decision. (10 marks)