Table 2 shows the statement of financial position of AAM Company as of December 31, 2019. RM
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Question:
Table 2 shows the statement of financial position of AAM Company as of December 31, 2019.
RM | RM | ||
Current assets | Current liabilities | ||
Accounts receivable | 100,000 | Accounts payable | 60,000 |
Inventory | 70,000 | Overdraft | 5,000 |
Prepayments | 10,000 | Dividend payable | 2,000 |
Cash & bank | 54,000 | Tax payable | 5,000 |
Dividends receivable | 1,000 | Long-term loan | |
Term loan | 200,000 | ||
Fixed assets | Share capital | 100,000 | |
Property, plant, and equipment | 110,000 | Reserves | 60,000 |
Real estate investments | 100,000 | Profit | 13,000 |
455,000 | 445,000 |
The following have not been adjusted:
- Inventory includes work in progress and raw materials valued at RM10,000 and RM5,000, respectively.
- Prepayment is related to insurance and road tax.
- Included in the bank is fixed deposit used to secure financing facility from Bank A amounting to RM10,000.
- Within the term loan, RM25,000 is loan payable during the next year. This has not been reclassified.
- One customer was declared bankrupt. He owed RM5,000.
Required:
Calculate zakat payable using:
- The net assets method.
- The net invested funds method.
Related Book For
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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