QUESTION 3 Income statement for the year ended 31 December 2021 and the balance sheet as at 31 December 2020 and 2021 of Timah Berhad are as follows: TIMAH BERHAD Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2021 RM RM Sales 623,000 353,000 Cost of Sales Gross Profit 270,000 Other Expenses (101,000) 169,000 Other Operating Income 13,000 182,000 Interest Revenue and Similar Income 4,000 186,000 Interest Expense and Similar Charges (16,000) 170,000 Tax on Profit (35,000) Profit after Taxation 135,000 Retained Profit b/f 53,000 188,000 Transfer to General Reserve (40,000) Dividend on Ordinary Shares (60,000) (100,000) Retained Profit c/f 88,000

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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QUESTION 3
Income statement for the year ended 31 December 2021 and the balance sheet as at 31
December 2020 and 2021 of Jimah Berhad are as follows:
TIMAH BERHAD
Statement of Profit or Loss and Other Comprehensive Income for the year ended 31
December 2021
RM
RM
Sales
623,000
Cost of Sales
353,000
Gross Profit
270,000
Other Expenses
(101,000)
169,000
Other Operating Income
13,000
182,000
Interest Revenue and Similar Income
4,000
186,000
Interest Expense and Similar Charges
(16,000)
170,000
Tax on Profit
(35,000)
135,000
Profit after Taxation
Retained Profit b/f
53,000
188,000
(40,000)
Transfer to General Reserve
Dividend on Ordinary Shares
Retained Profit c/f
(60,000) (100,000)
88,000
Transcribed Image Text:QUESTION 3 Income statement for the year ended 31 December 2021 and the balance sheet as at 31 December 2020 and 2021 of Jimah Berhad are as follows: TIMAH BERHAD Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2021 RM RM Sales 623,000 Cost of Sales 353,000 Gross Profit 270,000 Other Expenses (101,000) 169,000 Other Operating Income 13,000 182,000 Interest Revenue and Similar Income 4,000 186,000 Interest Expense and Similar Charges (16,000) 170,000 Tax on Profit (35,000) 135,000 Profit after Taxation Retained Profit b/f 53,000 188,000 (40,000) Transfer to General Reserve Dividend on Ordinary Shares Retained Profit c/f (60,000) (100,000) 88,000
TIMAH BERHAD
Statement of Financial Position as at 31 December
2020
2021
RM
RM
Non-Current Assets
Intangible assets:
Patents and trademarks
37,000
32,000
Tangible assets:
Land and buildings
310,000
310,000
Plant and machinery at NBV
125,000 102,000
Fixtures, fittings, tools and equipment at cost
163,000 180,000
635,000 624,000
Current Assets
Inventory
41,000 35,000
Debtors
Trade debtors
123,000 132,000
Prepayments and accrued income
16,000
13,000
Cash at bank and in hand
17,000
5,000
197,000
185,000
Total Assets
832,000
809,000
Current Liabilities
0
16,000
Bank overdraft
Trade creditors
39,000
30,000
Income tax payable
46,000
35,000
50,000
60,000
Dividend payable
Accrued expenses
15,000
11,000
150,000 152,000
Non-Current Liabilities
Debenture loans
250,000 150,000
Shareholders' Equity
Paid-up share capital
240,000 300,000
69,000
9,000
Asset revaluation reserve
Reserves
70,000
110,000
Retained profits
53,000
88,000
432,000 507,000
Total liabilities and shareholders' equity
832,000 809,000
Additional information:
1. Depreciation of plant and machinery for the year 2021 is RM23,000, included in Other
Expenses.
2. No fixed assets were disposed throughout the year.
3. The company paid all 2020's dividend due to its shareholders.
4. The company increased its paid-up share capital to RM300,000 by utilising the asset
revaluation reserve.
Required:
Prepare a statement of cash flows using the indirect method.
Transcribed Image Text:TIMAH BERHAD Statement of Financial Position as at 31 December 2020 2021 RM RM Non-Current Assets Intangible assets: Patents and trademarks 37,000 32,000 Tangible assets: Land and buildings 310,000 310,000 Plant and machinery at NBV 125,000 102,000 Fixtures, fittings, tools and equipment at cost 163,000 180,000 635,000 624,000 Current Assets Inventory 41,000 35,000 Debtors Trade debtors 123,000 132,000 Prepayments and accrued income 16,000 13,000 Cash at bank and in hand 17,000 5,000 197,000 185,000 Total Assets 832,000 809,000 Current Liabilities 0 16,000 Bank overdraft Trade creditors 39,000 30,000 Income tax payable 46,000 35,000 50,000 60,000 Dividend payable Accrued expenses 15,000 11,000 150,000 152,000 Non-Current Liabilities Debenture loans 250,000 150,000 Shareholders' Equity Paid-up share capital 240,000 300,000 69,000 9,000 Asset revaluation reserve Reserves 70,000 110,000 Retained profits 53,000 88,000 432,000 507,000 Total liabilities and shareholders' equity 832,000 809,000 Additional information: 1. Depreciation of plant and machinery for the year 2021 is RM23,000, included in Other Expenses. 2. No fixed assets were disposed throughout the year. 3. The company paid all 2020's dividend due to its shareholders. 4. The company increased its paid-up share capital to RM300,000 by utilising the asset revaluation reserve. Required: Prepare a statement of cash flows using the indirect method.
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