John and Timothy are in partnership sharing profits and losses in the ration 3 : 2 respectively
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Question:
John and Timothy are in partnership sharing profits and losses in the ration : respectively after crediting their accounts with interest on capital at pa monthly salaries of Sh and Sh respectively. Interest on drawings is charged at pa Their trial balance as at st December after drawing the Income Statement was as follows:
Dr
Cr
Capital
John
Timothy
Current
John
Timothy
Drawings
John
Timothy
Net Profit
Fixed Assets cost:
Land and Buildings
Plant and Machinery
Motor Vehicle
Accumulated depreciation
Land and buildings
Plant and machinery
Motor Vehicle
Debtors
Stock
Cash
Creditors
REQUIRED
i Draw up the Profit and Loss appropriation account. marks
ii Prepare the Current accounts for John and Timothy marks
iii Prepare the Statement of Financial Position of the partnership as at st December
marks
Related Book For
Frank Woods Business Accounting
ISBN: 9780273759287
12th Edition
Authors: Frank Wood. Sangster, Alan
Posted Date: