LeNia Spa House is a new, friendly, cosy and exclusive Beauty & Health spa at Batu Pahat Mall owned by Ledia and her sister, Lania. The decoration of the spa house was set in modern design with different themes in each room. The spa house provides a rejuvenating atmosphere where customers will be able to relax both their body and mind, offering wide range of holistic healing methods including massage, body treatments, energy balancing, yoga, nutrition counseling and organic hair and nail services.

They started their business on 1 January 2017 and spent RM250,000 on spa house building,
RM90,000 for business car and RM15,000 cash in bank. At the same time, the business obtained RM20,000 bank loan from Macbank Berhad as additional fund. The interest rate was 8% per annum.

The estimated life of business car is only 5 years with a scrap value of RM3,000. The business adopt straight line depreciation method on yearly basis.

LeNia Spa House is now in the process of preparing its financial statement for the year
ended 31 December 2017.

As for the 12 months operation, the following figures have been produced:
Particulars
RM
Withdrawals 100
Utilities expense 600
Accounts payable 4,000
Capital 14,500
Administrative expenses 1,200
Sales 6,000
Rental paid 2,000
Marketing expenses 200
Wages and salaries 3,000
Insurance 1,200
Interest on loan 1,600
Commission revenue 2000

The financial year end of LeNia Spa House is on 31 December 2017 every year.

question

c. find the total expenses of LeNia Spa house

d. illustrate the double entries foe the items held on 1 january 2017