This section requires students to prepare the current accounts, capital accounts and appropriation statement of profit or loss for partnership business.

You are given the business's unadjusted account balances together with several related information unique to each group to complete the

requirements.

The terms agreed by partners prior to the commencement of the partnership business as follows:

interest on partner drawing $5$& rate per anum

interest on partner capital $($refer additional info$)8\%$

interest on loan from partner $6\%$

At the beginning of the accounting year, the partners' current and capital balances were:

partner A CURRENT ACCOUNT IS RM $8000$ AND CAPITAL RM $100,000$

PARTNER B CURRENT ACCOUNT RM$5000$ AND CAPITAL $50,000$

PARTNER C CURRENT ACCOUNT RM$7000$ AND CAPITAL $60,000$

Partner A has advanced RM$50,000$ as a loan to the partnership on $1$ January $2022.$

The interest on loan from the partner is still outstanding. The interest on loan is to be treated as an expense.

Depreciation on machinery at $10\%$ will be charged on annual basis using straight line method. The following balances were extracted from the books of partnership as at the end of the accounting period:

Each partner is entitled to receive RM$12,000$ as an annual salary.

The partnership adopts the fixed capital structure in maintaining its partners accounts.

Notes: Each group is required to use other related partnership business information unique to each group provided in Table A to complete the requirements.

Required:

a$.$ Current account

b$.$ Capital account

c$.$ Appropriation Statement of Profit or Loss for the year

Additional Info:

Accounting year end $31$ Dec $2022$

Net Profit or Loss $($does not include depreciation

charges$)=$RM$370,000$

Additional Capital contributed by Partner B via online banking on $2$

February $2022=$ RM$20,000$

Interest on capital $($Basis$)$ :Calculated on the basis of ending capital

Drawing made by Partner C :RM$600$ was made on the first week of the fifth month of the accounting period.

Salary to partner : As at the end of the accounting period, salaries were paid to partners A and B amounting to RM$7,000$ each, whereas RM$9,000$ to partner C$.$

Sharing of profit or Loss Ratio $1$:$2$:$2$

Partner C is guaranteed with a minimum profit. RM$125,000$