A, B and C are in partnership sharing profits and losses in the ratio of 50 : 25 : 25 per cent. Each partner receives a salary of £40,000 and interest on opening capital balance of 15 per cent per year. The draft statement of financial position at the year end 31 March 20X2 is as follows:

The partners agreed to admit D on 31 March 20X2. D agreed to introduce £200,000 of capital. The partners have agreed to share the profits as follows A (40 per cent), B (30 per cent), C (20 per cent) and D (10 per cent). Goodwill on that date is valued at £600,000 and is not to be brought into the books. It is agreed that inventories are worth £360,000 and trade receivables £140,000. All other entries are of similar value to the book value amounts shown in the above statement of financial position.
You are required to prepare the:
a. appropriation account for the year ended 31 March 20X2;
b. revaluation account;
c. partners' capital and current accounts;
d. revised final statement of financial position at 31 March 20X2, after the introduction of D as partner.

Draft statement of finantial position for ABC as at 31 March 20X2 Prov for depn 000 300 120 420 WDV '000 200 ASSETS Non-current assets Fixtures Motor vehicles Cost C000 500 240 740 Current assets 280 Trade receivables 200 Provision for doubtful debts 160 240 680 1,000 140 Total assets EQUITY AND CAPITAL Equity capital Capital accounts: 80 160 80 320 Current accounts: 40 80 400 Profit for the year Inot yet apportioned) Total equity Non-current liabilities Long-torm loon Total non-current liabilities Current liabilities Trade poyables Total current liabilities Total equity and liabilities 200 1,000