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2. Encik Kiran operates a mini market known as KN Mini Market. Given below is the trial balance of the business as at 30 September 20X2. Motor vehicles (cost RM12,000) Salary Inventory as at 1 October 20X1 Wages Purchases and sales Capital Rent received Insurance Motor vehicle maintenance Allowance for doubtful debts KN Mini Market Trial Balance as at 30 September 20X2 Freehold land Loan from BCB Bank (taken out at 1 October 20X1) Accounts receivable and accounts payable Fixtures and fittings (cost RM15,000) Cash at bank Interest on loan Drawings Office supplies Machinery (cost RM120,000) Duty on purchases Telephone, water and electricity Carriage outwards Carriage inwards Discount allowed and discount received Commission received Motor vehicles Fixtures and fittings 2010 Additional information to be taken into consideration: (a) Inventory as at 30 September 20X2 was RM8,700. (b) Depreciation: Machinery 10% on cost 10% on carrying value 5% on cost Debit (RM) 8,000 10,000 5,500 14,000 35,800 4,500 3,000 135,000 9,000 7,600 19,800 1,500 2,700 1,800 88,000 1,500 600 2,000 500 700 351,500 Credit (RM) 96,800 115,100 600 130,000 3,800 400 3,600 1,200 351,500 (c) Part of the building is rented out for RM200 per month. As at 30 September 20X2, two months' rental has yet to be received. (d) Encik Kiran purchased a fire insurance policy on 1 June 20X2. The amount in the insurance account equates to insurance premiums for nine months. (e) Allowance for doubtful debts amounting to 6% of accounts receivable has to be provided. (f) Goods worth RM500 and RM500 cash were taken by Encik Kiran for his own use. No records were made in the accounts. (g) The telephone bill for the month of September 20X2 amounting to RM180 has yet to be paid. (h) The interest on loan at 12% per annum is not yet paid. You are required to prepare the following: (i) Statement of profit or loss for the year ended 30 September 20X2. (ii) Statement of financial position as at that date.

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