Dissolution Of partnership
1
A, B and C are partners sharing profits and losses as 5:3:2. The following is their
Balance Sheet as at 31st December, 1999 when they dissolve the business.
It was agreed to repay the amount due to the partners as and when the assets were
realised –
1st February Rs. 30,000; 1st April Rs. 73,000; 1st June Rs. 47,000.
Prepare the statement showing how the distribution should be made under (a)
Surplus Capital Method and (b) Maximum Loss Method and write the Cash Account
and Partners’ Capital Accounts.
Homework Answers
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Financial Accounting
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The information below relates to “NOT partnership business” for the year ended 31st December, 2019 Nyamekye...
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Thank you for answering ☺️ Problems Problem 11-1A Methods of allocating partnership profit L03 eXcel CHECK...
Thank you for answering ☺️
Problems Problem 11-1A Methods of allocating partnership profit L03 eXcel CHECK FIGURE: c. Cr Jenkins, Capital: $195,000 Jenkins, Willis, and Trent invested $200,000, $350,000, and $450,000, respectively, in a partnership. During its first year, the firm recorded profit of $600,000. Required Prepare entries to close the firm's Income Summary account as of December 31 and to allocate the profit to the partners under each of the following assumptions: a. The partners did not produce any...
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Financial Accounting
Partnership Question No. 06 ossoluton Colors partnership, owned by three partners Rose, Pink and White reported the following post-closing trial balance. Colors' Partnership Post-Closing trail Balance as at 31.03.2019 Account Title Building Ace. Depreciation - Building Furniture and Fittings Acc. Depreciation - Furniture and Fittings Inventory Debtors Cash at Bank Capital - Rose Capital - Pink Capital - White Creditors (Rs.) (Rs.) Debit Credit 500,000 60.000 275,000 55.000 350,000 200.000 150,000 300,000 280,000 420,000 360,000 1,475,000 1,475,000 Additional...
Financial Accounting
Aru Math and Chathura were partners in a firm and in their partnership de provided that Profits and losses are shared at the ratio of 3:2:1 as between Aruna. Bhathiya and Chathura Partners shall be entitled to 10% interest on capital at the opening balance of each year Aruna, Bhathiya and Chathura are entitled to salary of Rs. 50,000, Rs. 75,000 and Rs. 60.000 respectively. On April 2013 Chathura decided to retire from the partnership and following terms...
Ramer and Knox began a partnership by investing $60,000 and $80,000, respectively. During its first year, the partnership earned $160,000. Prepare calculations showing how the $160,000 income should be allocated to the partners under each of the following three separate plans for sharing income and loss: 1. The partners failed to agree on a method to share income. 2. The partners agreed to share income and loss in proportion to their initial investments (round amounts to the nearest dollar). 3....
Financial Accounting
Section B Partnership Question No. 02 - Compulsory Land M are partners of LM Partnership and M and N are partners of MN Partnership sharing profits and losses in the ratio of 1:1 and 2:3 respectively. On 31.03.2019 they decided to amalgamate the two partnerships and form a new firm. LMN Partnership where the L. M and N will share the profits and losses in the ratio of 3: 2: 1 respectively. The Statement of Financial Positions of...
Thank you for answering ☺️
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