Data Inventories Assignment

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February 25th, 2020

(10 MARKS) QUESTION 2 The information below shows data inventories bought and sold by Starlight Sdn Bhd in October 2018. Cost (RM) RM18 Price (RM) Units Particulars Date 10 October 1 Inventory Sale Purchase RM25 7 4 10 RM20 RM30 RM35 4 22 28 30 Sale Sale 2 RM28 10 Purchase Required: Assuming that perpetual inventory records are kept, determine the inventory at 30 October 2018 using weighted average system method. (7 marks) ii. Calculate the gross profit for the month of October (3 marks)

QUESTION 3 (15 MARKS) Nabil Sdn Bhd, a wholesaler, provided you with the following information: Year-end 31 March Total debtors before bad debts (RM) Bad debt written-off during the year (RM) 1,400 1,000 1,200 2016 21,400 23,000 17,200 2017 2018 The allowance for doubtful debts was RM340 as 31 March 2015 It is the company's policy to provide for doubtful debts at the rate of 2% on the remaining total debtors Required: Prepare the allowance for doubtful debts account for the year ending 31 March 2016, i. 2017 and 2018 (7 marks) Show the statement of Financial Position (extract) as at 31 March 2018 (show all the working) ii. (4 marks) ii. Distinguish between Discount Allowed and Discount Received. (4 marks) .

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