CHAPTER 5 : SINGLE ENTRY AND INCOMPLETE RECORDS

1. Rasmin Yeng had been running a small family business called Rasmin Enterprise for
many years and had kept the books of account on single entry method. On 1st January 2015,
the following statement of affairs

RASMIN ENTERPRISE
STATEMENT OF AFFAIRS AS AT 1 JANUARY 2015
FIXED LONG TERM
ASSET RM RM LIABILITIES RM RM
Fix and Fit 10,000 Bank Loan 20,000
(-) Depreciation (2,000) 8,000
CURRENT LIABILITIES
Motor Van 40,000 Creditors 26,000
(-) Depreciation (16,000) 24,000 Accured Sundry Expenses 2,000 28,000
32,000
CURRENT
ASSET OWNER'S EQUITY
Stock 27,000 Capital 50,000
Debtors 30,000
Bank 8,000
Cash 1,000 66,000
98,000 98,000

During the year ended 31st December 2015, the following transaction (in summary) took
place:

Cash Receipts RM
Debtors 105,000
Sales of goods 65,000
Sales of fixt and fit
(original cost: RM 2,000: Depreciated to RM 1,500) 1,000

Cash Payments RM
Creditors 77,000
Stock purchase 21,000
Purchases fix and fit 3,000
Wages and salaries 30,000
Insurance 4,000
Rent 7,000
Sundry 5,000
Drawings 8,000

Other Transactions RM
Sales return 5,000
Discount allowed 3,000
Bad debts 2,000
Purchases returns 7,000
Discount received 6,000
All fixed asset are depreciated at 20% per annum of original cost, innterest on the bank loan
at 10% per annum was owing. As at 31 December 2015,the following information was
available:

RM
Stock 18,000
Creditors 24,000
Prepaid rent 1,000
Accured sundry expenses 1,000
Prepaid insurance expenses 1,000
Debtors 34,000

Required to :

a.) Prepare bank account

b.) Find credit sales and purchases.
c.) Prepare fix and fit account and related accounts.
d.) Relevant nominal account.
e.) Income Statement for the year ended 31 December 2015.
f.) Statement of Affairs as at 31 December 2015.