Lecture Topic 2(1) - 1 Question 4: Presentation of...

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1 Question 4: Presentation of Financial Statements Topic (12 marks) The general ledger trial balance of Rain Ltd includes the following accounts at 30 June 2010:- (a) Sales revenue $ 975 000 (b) Interest income 20 000 (c) Share of profit of associates 15 000 (d) Gain on sale of available-for-sale investments 10 000 (e) Decrease in inventories of finished goods 25 000 (f) Raw materials and consumables used 350 000 (g) Employee benefit expenses 150 000 (h) Loss on translation of foreign operations (nil tax effect) 30 000 (i) Depreciation of property, plant and equipment 45 000 (j) Impairment loss on property 80 000 (k) Finance costs 35 000 (l) Other expenses 45 000 (m) Income tax expense 75 000 Additional information Available-for-sale (AFS) investments are revalued regularly, with changes in fair value recognised directly in equity. When an AFS financial asset is sold, the accumulated amount recognised in equity for the asset is recognised in profit or loss. Movements in the AFS reserve
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Lecture Topic 2(1) - 1 Question 4: Presentation of...

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