The partners have always shared their profits in the ratios of Vantuira 3: Aparecida 2: Fraga 5. They are to alter their profit ratios to Vantuira 4: Aparecida 1: Fraga 3. The last statement of financial position before the change was:

The partners agree to bring in goodwill, being valued at £24,000 on the change.
Show the statements of financial position on 1 April 2016 after goodwill has been taken into account if:

(a) Goodwill account was opened.

(b) Goodwill account was not opened.

Transcribed Image Text:

Statement of Financial Position as at 31 March 2016 E Net Assets (not including goodwill) Capitals: 100,000 100,000 Vantuira Aparecida 30,000 20,000 Fraga 50,000 100,000