A is joining B and C partenership partenership, and the three have agreed to value as  3 year purchase of the super profit. The net profit average of B and C partnership is $20000.The average value of the partner services $10000 and the average interest on capital is $5000. Calculate the good will

2 X and Y are in a partnership sharing profit and loss in the ratio of 2:1 respectively. Their financial statement are as follows 

as at 31st December 2018

Non current Asset

Land and building  $40000

Furniture and fixtures $30000

Motor vehicle $ 250000

                              =$950000

Current assets

Account receivable $15000

Inventory   $20000

Cash        $10000 

Current liabilities 

Account payable $25000

working Capital $20000

Net assets           $11500

On the same day 31 December 2018 Z was admitted in the partnership and agreed on the following revaluations :

 Advantages of control accounts

States errors affecting the trial balance 

 What capital expenditure?

What is revenue expenditure? 

 Errors of commission?

characteristics of capital expenditure?

characteristics of revenue expenditure?

 Explain the difference between capital receipts and capital expenditure.

Answer rating: 100% (QA)

Question 1 A is joining B and C partnership and the three have agreed to value as a 3year purchase of the super profit The net profit average of B and C partnership is 20000 The average value of the p... View the full answer