ASSIGNMENT 1: (CLO1)
a) Discuss how relevance, reliability, comparability, and consistency qualitative
characteristics help in decision-making processes for external users such as
investors, creditors, and other stakeholders.

b) Encik Adrian commenced his tax firm ABC Services on 1 January 2023.
Date Transactions
January 1 Adrian, the owner of ABC Services, contributed RM100,000 cash to his

company.
5 ABC Services provides consulting services and bills the client RM8,000,
which will be paid in 30 days.
15 ABC Services purchases office supplies on credit for RM500.
21 ABC Services pays RM2,000 in cash for rent expenses for the month.
30 ABC Services accrues RM3,000 in salaries expenses at the end of the
month.
31 ABC Services borrowed cash RM500,000 from OUMB Bank

Analyse all the above transactions by determining which accounts are affected, whether
they are increased or decreased and whether they need to be debited or credited. Refer
example given.

ASSIGNMENT 2: (CLO2)
a) Farhad started a business named Farhad Legal Solution (FLS) offers legal services on
1 December 2023. The following are transactions that occurred during December
2023:

1. Farhad brought in RM50,000 cash into the business.
2. Farhad bought a car for his use worth RM112,000 cash using the company’s
   money.
3. FLS provided legal services to a client worth RM7,000 and received cash from the
   client.
4. FLS purchased office supplies worth RM2,000 cash.
5. FLS paid RM700 cash for advertising expenses for December 2023.
6. FLS sent a bill totalling RM5,000 to a client for the legal service provided and is
   yet to receive payment.
7. FLS received RM3,000 cash as an agreement to start work as a legal advisor for a
   company starting January 2024.
8. FLS paid RM3,600 cash for employees’ salaries.
9. FLS paid RM2,400 cash for the December office rental.
   Based on the above information, you are required to prepare the journal entries to
   record all transactions.

b)

4

Afif Enterprise has operated since 1 January 2020. The following are the accounts’
balances of Afif Enterprise as at 31 December 2023:

Account Balance (RM)
Cash 18,500
Accounts receivable 15,200
Prepaid insurance 2,400
Inventory at 31/12/2023 22,800
Office supplies 4,500
Prepaid advertising 3,400
Furniture & fittings 22,600
Accumulated Depreciation – furniture & fittings 10,400
Unearned Sales revenue 3,700
Accounts payable 17,500
Long term loan 12,000
Capital – Afif 24,000
Sales revenue 42,000
Salaries expenses 5,800
Repair expenses 13,200
Utility expenses 1,200
Below is the additional information that needs to be considered for adjustment:

1. Furniture and fittings are depreciated at a rate of 10 per cent annually using the
   straight-line method.
2. The balance of office supplies on hand at the end of the year is RM2,500.
3. Rentals for the current year amounting to RM2,200 are not yet paid.
4. Employees’ salary for December 2023 for RM3,300 has not yet been paid.
5. Utility bill for December 2023 for RM350 has been received but has not yet been
   paid.
6. Prepaid advertising includes RM300 for the January 2024 advertisement.
7. Expired insurance for the year 2023 is RM1,200.
8. Accrued interest on the long-term loan until 31 December 2023 is RM900.
   Based on the above information, you are required to prepare:
   a) Income Statement for the year ended 31 December 2023.

b) Balance Sheet as at 31 December 2023.

Get the Solved Assignment @ $ 25

ORDER NOW