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this is the financial accounting and reporting 2. MFRS 120, MFRS140, MFRS15, MFRS123. can anyone do it asap?

QUESTION 2 PART A On 1 January 2018, DSP Bhd purchased a new machine for cash of RM1,500,000. The machine has an expected life of three years and a nil residual value. DSP received a 50% grant towards the cost of machine on the same date. DSP Bhd's accounting policy for capital-based grants is to treat them as deferred credits and release them to income over the life of the asset to which they relate. On 31 December 2018, it is found that DSP can no longer fulfil the requirements of the government and hence DSP had to repay the grant in full on 31 December 2018. Required: Prepare the journal entries to record the grant, depreciation and the repayment of the grant. (8 marks) TY PART C a. Abu Bakar, a contractor, enter into a contract with Cellen, to construct a factory building. A contract modification arises when Cellen requests for an annexure office block to be built next to the factory. The price of this annexure is negotiated separately. How to account for the modification? (3 marks) b. In another contract, the same contractor, Abu Bakar designs and builds a house for a new house owner, Jessy. Abu Bakar is responsible for the overall management of the project and identifies various goods or services that are provided, including architectural design, site preparation, construction of the house, plumbing and electrical services and finished carpentry. How many performance obligations are in the contract? (3 marks) c. Husboom Ent. sells energy drinks to 24/7 convenience stores. Husboom Ent. also pays the store a fee to ensure that its products receive prominent placement on store shelves. The fee is negotiated as part of the contract for sale of the energy drinks. How should Husboom Ent. account for the slotting fees paid to the stores? (3 marks) d. Briefly state the 5-step model of MFRS 15 in recognising revenue. (5 marks) PART D . On 1 January 2018, Lilin Bhd borrowed RM400 million to finance the construction of a property, a qualifying asset, which was expected to take three years to build. The following are the details of the loan and the property Interest on the loan was fixed at 10% per annum. Construction work on this property was commenced on 1 January 2018. Funds used for expenditures on the construction of the property were RM200 million on 1 January 2018 and RM200 million on 1 July 2018. The unutilised funds were temporarily invested with a return of 6% per annum, determine the borrowing costs eligible for capitalisation for the year ended 31 December 2018 and consequently the cost of the property as at 31 December 2018. Required: Determine the carrying amount of the property as at 31 December 2018 and prepare the joumal entry to account for the borrowing costs capitalised in 2018. (6 marks) PART C a. Abu Bakar, a contractor, enter into a contract with Cellen, to construct a factory building. A contract modification arises when Cellen requests for an annexure office block to be built next to the factory. The price of this annexure is negotiated separately. How to account for the modification? (3 marks) b. In another contract, the same contractor, Abu Bakar designs and builds a house for a new house owner, Jessy. Abu Bakar is responsible for the overall management of the project and identifies various goods or services that are provided, including architectural design, site preparation, construction of the house, plumbing and electrical services and finished carpentry. How many performance obligations are in the contract? (3 marks) c. Husboom Ent. sells energy drinks to 24/7 convenience stores. Husboom Ent. also pays the store a fee to ensure that its products receive prominent placement on store shelves. The fee is negotiated as part of the contract for sale of the energy drinks. How should Husboom Ent. account for the slotting fees paid to the stores? (3 marks) d. Briefly state the 5-step model of MFRS 15 in recognising revenue

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