the questions are completed

Additional information 218. During the year, a bonus issue of 1 share for every 4 held (The parv alue of the shares outstanding is $1) at 1 January 20x9 followed by a rig ht issue on 5 February 20X9 at $1.2 each. - The company sold a machine with a NBV of $15,000 for $12,000. - A five years loan of $100,000 was raised on December 31, 20X8 wit h annual interest rate of 6%, and the interest expense has not been charg Required: 1. What is the definiton of asset, liablity and equity? What are the the relationship between them? (5 marks) ed. 2. What is the definition of inventory? What is the difference betwee n inventory and non-current tangible assets? Please provide an ex ample to caculate the cost of goods sold frome opening inventory \closing inventory. (10 marks) 3. Why does company provide depreciation expense for non-current tangible assets? (5 marks) 28 Fundamental Accounting ,: oversea stude nts 4. Calculate related ratios and common Alex Ltd's long-term and sh ort-term solvency (10 marks). 5. Calculate the Inventory turnover period, Receivables collection pe riod and Payables payment period and explain it's working capital c yde (10 marks). Additional information 218. During the year, a bonus issue of 1 share for every 4 held (The parv alue of the shares outstanding is $1) at 1 January 20x9 followed by a rig ht issue on 5 February 20X9 at $1.2 each. - The company sold a machine with a NBV of $15,000 for $12,000. - A five years loan of $100,000 was raised on December 31, 20X8 wit h annual interest rate of 6%, and the interest expense has not been charg Required: 1. What is the definiton of asset, liablity and equity? What are the the relationship between them? (5 marks) ed. 2. What is the definition of inventory? What is the difference betwee n inventory and non-current tangible assets? Please provide an ex ample to caculate the cost of goods sold frome opening inventory \closing inventory. (10 marks) 3. Why does company provide depreciation expense for non-current tangible assets? (5 marks) 28 Fundamental Accounting ,: oversea stude nts 4. Calculate related ratios and common Alex Ltd's long-term and sh ort-term solvency (10 marks). 5. Calculate the Inventory turnover period, Receivables collection pe riod and Payables payment period and explain it's working capital c yde (10 marks)