(i)Statement of Profit or Loss (classify expenses by function) for the year ended31 December 2020. Dark Energy Limited is specialist wholesalers. Below is the trial balance of DarkEnergy Limited as at 31 December 2020.QI.RMRMInventory: 31.12.2019Ordinary share capital: RM 1 sharesGeneral reserveRetained profits as at 31.12.2019RevenuePurchasesReturns out wardsReturns inwardsCarriage inwards|Carriage outwardsWarehouse wagesSalespeople's salariesAdministrative wages and salariesPlant and machineryMotor vehicle hireProvisions for depreciation: plant and machineryGeneral distribution expensesGeneral administrative expensesDirectors' remunerationOrdinary dividend|Rental receivableTrade accounts receivableCash at bank and in handTrade accounts payable (payable before 31.12.2021)Bills of exchange payable (payable 28.2.2021)336,7201,000,000168,000139,7505,090,3702,475,910121,220136,2006,34043,790410,240305,1 10277,190610,00084,770216,29027,13047,990195,140375,00037,1501,623,570179,250304,57057,0007,134,3507,134,350The following additional information is relevant for the preparation of financialstatement:Plant and machinery include a newly purchased plant of RM75,000 duringthe year.(1)(2)Depreciate plant and machinery at 20% per annum on cost.(3)Plant and machinery are apportioned: distributive 60%; administrative 40%.(4)Inventories at 31.12.2020: RM 412,780, consists of goods for resale.(5)Accrued auditors' remuneration: RM 71,000.(6)Of the motor vehicle hire, RM 55,000 is for distributive purposes. Corporation tax on profits, at a rate of 35%, is estimated at RM 238,500 andis payable on 1.10.2021.(7)Pension contributions for staff amounted to RM 42,550 and social securitycontributions amounted to RM 80,120. These figures are included in wagesand salaries in the trial balance. No employee earned over RM 30,000.(8)(9)Directors' remuneration has been as follows:RMChairmanManaging DirectorsFinance DirectorsMarketing Director46,64051,50046,00043,000In addition, each of them drew RM 2,000 as directors' fees. Pensions are thepersonal responsibility of directors.

Income statement The purpose of preparing the income statement is to determine the net income of the…

Answered: (i)Statement of Profit or Loss…

Business

Accounting

(i)Statement of Profit or Loss (classify expenses by function) for the year ended 31 December 2020.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter9: Long-term Liabilities

Section: Chapter Questions

Problem 103.4C

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