Using the following data, prepare a profit and loss appropriation account for Lewis, Walker, and James for the year ended 31 December 21X4, and balance sheet extracts Net profits 39,700 Interest to be charged on capitals Lewis 2,400 Walker 1,800 James 1,500 Interest to be charged on drawings Lewis 270 Walker 220 James 180 Salaries to be credited Walker 3,500 James 3,900 Profits to be shared Lewis 50 Walker 30 James 20 Current accounts Lewis 2,100 Walker 1,200 James 950 Capital accounts Lewis 55,000 Walker 27,000 James 24,000 Drawings Lewis 11,500 Walker 8,300 James 9,100

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Question: Using the following data, prepare a profit and loss appropriation account for Lewis, Walker, and James for the year ended 31 December 21X4, and balance

Using the following data, prepare a profit and loss appropriation account for Lewis, Walker, and James for the year ended 31 December 21X4, and balance sheet extracts:

Net profits: £39,700
Interest to be charged on capitals: Lewis £2,400; Walker £1,800; James £1,500
Interest to be charged on drawings: Lewis £270; Walker £220; James £180
Salaries to be credited: Walker £3,500; James £3,900
Profits to be shared: Lewis 50%; Walker 30%; James 20%
Current accounts: Lewis £2,100; Walker £1,200; James £950
Capital accounts: Lewis £55,000; Walker £27,000; James £24,000
Drawings: Lewis £11,500; Walker £8,300; James £9,100

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