The following are balances of a partnership between Shoe and Lace as at 2021 December 31:...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The following are balances of a partnership between Shoe and Lace as at 2021 December 31: DR $ Capital on 2021 January 01: Shoe Lace Current Accounts on 2021 January 01: Shoe Lace Drawings during the year were: Shoe Lace Land and building Equipment Cash at bank Bank loan Electricity Office salaries Advertising Bad debts Provision for bad debts Debtors Creditors Provision for depreciation: Equipment Stock on 2021 December 31 Gross profit for the year Additional information: A. B. C. i. Provision for bad debts is to be increased by $50. ii. Amount for advertising included payment of $120 for 2022. iii. Electricity bill of $145 is due. iv. Equipment is to be depreciated at 20% per annum. v. Interest on capital is allowed at 20% per annum. 200 6 000 4 400 160 000 Draw up Capital Accounts of the partnership. Draw up Current Accounts of the partnership. 15 000 20 000 1400 40 000 30 000 700 6 000 30 000 vi. Interest on drawings is 5% per annum. vii. Profits and losses are to be shared between Shoe and Lace in the ratio 2:3. CR S 30 000 30 000 1 500 90 000 700 9 500 2 000 150 000 Prepare Profit and Loss and Appropriation Account for year ended 2021 December 31. (10 marks) (2 marks) (8 marks) The following are balances of a partnership between Shoe and Lace as at 2021 December 31: DR $ Capital on 2021 January 01: Shoe Lace Current Accounts on 2021 January 01: Shoe Lace Drawings during the year were: Shoe Lace Land and building Equipment Cash at bank Bank loan Electricity Office salaries Advertising Bad debts Provision for bad debts Debtors Creditors Provision for depreciation: Equipment Stock on 2021 December 31 Gross profit for the year Additional information: A. B. C. i. Provision for bad debts is to be increased by $50. ii. Amount for advertising included payment of $120 for 2022. iii. Electricity bill of $145 is due. iv. Equipment is to be depreciated at 20% per annum. v. Interest on capital is allowed at 20% per annum. 200 6 000 4 400 160 000 Draw up Capital Accounts of the partnership. Draw up Current Accounts of the partnership. 15 000 20 000 1400 40 000 30 000 700 6 000 30 000 vi. Interest on drawings is 5% per annum. vii. Profits and losses are to be shared between Shoe and Lace in the ratio 2:3. CR S 30 000 30 000 1 500 90 000 700 9 500 2 000 150 000 Prepare Profit and Loss and Appropriation Account for year ended 2021 December 31. (10 marks) (2 marks) (8 marks)
Expert Answer:
Related Book For
Accounting For Cambridge International AS And A Level
ISBN: 9780198399711
1st Edition
Authors: Jacqueline Halls Bryan, Peter Hailstone
Posted Date:
Students also viewed these accounting questions
-
The trial balance for LPO at 31 December 2013 was as follows: Notes: (i) Closing inventory at 31 December 2013 was $562,000. (ii) On 31 December 2013, LPO disposed of some obsolete plant and...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Question 1 This question has two parts, (A) and (B). Answer both parts. 100% Liverpool plc is a company that manufactures a number of different types of electrical goods and has a year end of 31...
-
Chemistry A one-electron atom is an atom with Z protons in the nucleus and one electron. For example, Z = 2 for helium and Z = 3 for lithium. Use our class discussion of the allowed radii and...
-
Calculate the maximum kinetic energy of the electron in the decay e + vc + v.
-
The following questions relate to audit procedures for long-term obligations and stockholders' equity. a. The auditor can best verify a client's bond sinking fund transactions and year-end balance by...
-
Which cost is not recorded as part of the cost of a building? a. Construction materials, labor, and overhead b. Annual building maintenance C. Real estate commission paid to buy the building d....
-
Sanderson's Fine Furnishings manufactures upscale custom furniture. Sanderson's currently uses a plant wide overhead rate based on direct labor hours to allocate its $1,000,000 of manufacturing...
-
noin 2. Assume the following current information: (i) The deposit rate on Euro-yen 6-month deposits = 3% per annum (ii) The deposit rate on Eruo-Cdn $ 6-month deposits = 4% per annum (iii) The...
-
Siu is considering giving her son stock in Ace Corporation or Gold Corporation. Each has a current FMV of $500,000, and each has the same estimated future appreciation rate. Sius basis in the Ace...
-
Find a linearization of y=cost at a=pi/6 and use it to approximate cos 32
-
144. Given below is the diagramatic sketch of a transverse section of young anther, Identify the parts labelled A, B, C and D :- A 10101 B (1) Epidermis middle layer (2) Epidermis Endothecium (3)...
-
On December 3 1 , Cullumber Ltd . had a cash balance of $ 1 8 , 9 9 0 in its general ledger. The bank statement from the National Bank on that date showed a balance of $ 1 5 , 5 3 0 . A comparison of...
-
Produce a complete list of everyone involved in, affected by or responsible for each initiative. In your answer: use an appropriate business analysis technique (e.g. affinity diagrams) to identify...
-
Net Sales $ 1 7 5 , 0 Net Income 3 5 , 0 0 0 Cash provided by Operating Activities 4 0 , 0 0 0 Expenditures on Property, Plant and Equipment 1 5 , 0 0 0 Current Assets 4 7 , 2 5 0 Current Liabilities...
-
When a bond is issued at a discount, at what value is it reported on the balance sheet? t ORedeemable value O Face value minus any amortized discount Face value minus any unamortized discount O Face...
-
The following table shows the number of various foreign currencies required to buy a U.S. dollar on April 12, 2008, and April 12, 2013. Use this table to answer the questions that follow. Australian...
-
Draw and label the E and Z isomers for each of the following compounds: 1. CH3CH2CH==CHCH3 2. 3. 4. CH,CH2C CHCH2CH Cl CH3CH2CH2CH2 CH CH2CCCH2CI CHCH3 CH3 HOCH CH CCC CH O-CH C(CH
-
The following balances have been extracted from the books of account of Lightowler Ltd at 30 April 2015. Additional information: Premises should be depreciated by $540 000. Vehicles should be...
-
Marion and Nigel are in partnership, sharing profits and losses in the ratio 4:1, respectively. They sell the partnership assets to Opus Ltd for $210,000. The purchase consideration is made up of...
-
Preference share dividends TJZL Ltd has an authorised capital that includes 200,000,10 percent $1 preference shares, of which 160,000 are issued. These shares are currently being sold for $2 each....
-
The following MINITAB output presents a multiple regression equation y = b0 + b1x1 + b2x2 + b3x3 + b4x4. It is desired to drop one of the explanatory variables. Which of the following is the most...
-
For a sample of size n = 15, the following values were obtained: b0 = 3.71, b1 = 8.38, se = 1.13, (x x)2 = 7.71, x = 13.16. Construct a 95% prediction interval for an individual response when x = 8.
-
A _______________ interval estimates the y-value for a particular individual with a given x-value. In Exercises 3 and 4, fill in each blank with the appropriate word or phrase.
Study smarter with the SolutionInn App