a) The partnership agreement states that Happy, Jolly and Merry share profits and losses in the...

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a) The partnership agreement states that Happy, Jolly and Merry share profits and losses in the ratio 3:2:1 b) The furniture and fittings were sold for $48,800. c) Only $39,900 of outstanding receivables were recovered. d) The payables were settled for $25,440. e) It was agreed between the partners that Merry could take a motor vehicle at a valuation of $9,000 in addition to his share of the profit. The motor vehicle had a net book value of $8.000. The other motor vehicles were sold for $29.500. f) The inventory was sold for $27,750. g) The loan was repaid in full on 1 December 2006. h) There were no outstanding interest payments on the loan. i) Expenses incurred in dissolving the partnership were $1.000. Required: Prepare the following accounts on dissolution: i. Partners' accounts IL Realization account Cash and bank account ess you need to edit, it's safer to stay in Protected View. Enable Editing 0 H K M 2. Happy, Jolly and Merry decide to dissolve their partnership on 1 December 2008 after being in business for many years. The balance sheet of the partnership as at 30 November 2006 was as follows: Happy, Jolly and Merry Balance sheet as at 30 November 2006 Assets Non-current assets Furniture and fittings Motor vehicles Current assets Inventory Receivables Bank $ 50,000 35,000 85,000 25,000 42,000 6,000 73,000 158,000 Total assets Capital and liabilities Partners' capital accounts Happy 45,000 Jolly 30,000 Merry 15,000 90,000 Partners' current accounts Happy 9,750 Jolly 7,450 Merry 6,300 23,500 18,000 Loan Current Liabilities Payables 28,500 Total capital and liabilities 158,000 a) The partnership agreement states that Happy, Jolly and Merry share profits and losses in the ratio 3:2:1 b) The furniture and fittings were sold for $48,800. c) Only $39,900 of outstanding receivables were recovered. d) The payables were settled for $25,440. e) It was agreed between the partners that Merry could take a motor vehicle at a valuation of $9,000 in addition to his share of the profit. The motor vehicle had a net book value of $8.000. The other motor vehicles were sold for $29.500. f) The inventory was sold for $27,750. g) The loan was repaid in full on 1 December 2006. h) There were no outstanding interest payments on the loan. i) Expenses incurred in dissolving the partnership were $1.000. Required: Prepare the following accounts on dissolution: i. Partners' accounts IL Realization account Cash and bank account ess you need to edit, it's safer to stay in Protected View. Enable Editing 0 H K M 2. Happy, Jolly and Merry decide to dissolve their partnership on 1 December 2008 after being in business for many years. The balance sheet of the partnership as at 30 November 2006 was as follows: Happy, Jolly and Merry Balance sheet as at 30 November 2006 Assets Non-current assets Furniture and fittings Motor vehicles Current assets Inventory Receivables Bank $ 50,000 35,000 85,000 25,000 42,000 6,000 73,000 158,000 Total assets Capital and liabilities Partners' capital accounts Happy 45,000 Jolly 30,000 Merry 15,000 90,000 Partners' current accounts Happy 9,750 Jolly 7,450 Merry 6,300 23,500 18,000 Loan Current Liabilities Payables 28,500 Total capital and liabilities 158,000