Mani and Richi trade in partnership as MR Traders. The following is an extract from the...
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Mani and Richi trade in partnership as MR Traders. The following is an extract from the trial balance for the year ended 31 December 2020: Capital Mani Richi Current Accounts Mani Richi Drawings Mani Richi DR 2 600 1 892 2 000 CR 18 000 14 000 8 000 Additional information: 1. The partnership agreement stipulates the following: 1.1 Partners will receive 10% interest on capital annually and 8% interest is allowed on current accounts 1.2 Mani will receive a salary of R3 000 per annum and Richi a salary of R5 000 per annum. 1.3 Mani and Richi divide profits or losses in the ratio of 1:2 2. The net profit for the year ended 31 December 2020 was R 5 183 Required: Prepare the Statement of Changes in Equity of MR Traders for the year ended 31 December 2020. Mani and Richi trade in partnership as MR Traders. The following is an extract from the trial balance for the year ended 31 December 2020: Capital Mani Richi Current Accounts Mani Richi Drawings Mani Richi DR 2 600 1 892 2 000 CR 18 000 14 000 8 000 Additional information: 1. The partnership agreement stipulates the following: 1.1 Partners will receive 10% interest on capital annually and 8% interest is allowed on current accounts 1.2 Mani will receive a salary of R3 000 per annum and Richi a salary of R5 000 per annum. 1.3 Mani and Richi divide profits or losses in the ratio of 1:2 2. The net profit for the year ended 31 December 2020 was R 5 183 Required: Prepare the Statement of Changes in Equity of MR Traders for the year ended 31 December 2020.
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