BSAC$2206/$BSAC$2202$: CORPORATE ACCOUNTING$-1$: ASSIGNMENT QUESTION$-1$

The following are the information obtained from the books of a partnership firm.

$\backslash$begin$\{$tabular$\}\{|$l$|$r$|$r$||\}$

$\backslash$hline Particulars & Debit $($OMR$)$ & Credit $($OMR$)\backslash \backslash$

$\backslash$hline Sarah's Capital & & $85,000\backslash \backslash$

$\backslash$hline Ahmed's Capital & & $55,000\backslash \backslash$

$\backslash$hline Sales & $300,000$ & $\backslash \backslash$

$\backslash$hline Creditors & & $20,000\backslash \backslash$

$\backslash$hline Drawings $-$ Sarah & $6,000$ & $\backslash \backslash$

$\backslash$hline Drawings $-$ Ahmed & $5,000$ & $\backslash \backslash$

$\backslash$hline Purchases & $180,000$ & $\backslash \backslash$

$\backslash$hline Wages & $12,000$ & $\backslash \backslash$

$\backslash$hline Rent & $3,500$ & $\backslash \backslash$

$\backslash$hline Loan from Bank & & $\backslash \backslash$

$\backslash$hline Opening Stock $(1\mathrm{.}1\mathrm{.}2023)$ & $25,000$ & $\backslash \backslash$

$\backslash$hline $\backslash$hline Cash in Hand & $20,000$ & $\backslash \backslash$

$\backslash$hline Plant and Machinery & $100,000$ & $\backslash \backslash$

$\backslash$hline $\backslash$hline Equipment & $30,000$ & $\backslash \backslash$

$\backslash$hline Other Expenses & $4,000$ & $\backslash \backslash$

$\backslash$hline Debtors & $40,000$ & $\backslash \backslash$

$\backslash$hline Discount Allowed & $2,000$ & $\backslash \backslash$

$\backslash$hline Total & $458,500$ & $4\backslash \backslash$

$\backslash$hline $\backslash$hline

$\backslash$end$\{$tabular$\}$

Additional Information:

a$)$ Sarah and Ahmed share profits and losses in the ratio $\backslash (3$: $2\backslash )$ respectively.

b$)$ Closing stock at the end of the year is valued at OMR $40,000.$

c$)$ Depreciation on Plant and Machinery is charged at $5\backslash \%$ per annum, and on Equipment at $10\backslash \%$ per annum.

d$)$ Prepaid rent is OMR $1,500.$

e$)$ Outstanding wages are OMR $1,000.$

f$)$ Provision for bad debts is $\backslash (5\backslash \%\backslash )$ of debtors.

g$)$ Interest on capital is $\backslash (6\backslash \%\backslash )$ per annum.

h$)$ Interest on drawings is $\backslash (8\backslash \%\backslash )$ per annum.

You are required to prepare an Income Statement, Profit $\backslash$& Loss Appropriation Account, Partners' Capital Accounts and Balance Sheet and answer the following questions.

i$.$ What is the net profit$/$loss of the firm?

ii$.$ What is the share of profit$/$loss distributed to the partners?

iii. Show the effects in Partners Capital Accounts.

iv$.$ Show the value of Assets and Liabilities of the firm.

v$.$ Briefly describe the relationship among the accounts in the preparation of final accounts for a partnership firm.

$6$