Prepare statement of financial position as at december » Full Grade
Assignment Instructions
Save your time - order a paper!
Get your paper written from scratch within the tight deadline. Our service is a reliable solution to all your troubles. Place an order on any task and we will take care of it. You won’t have to worry about the quality and deadlines
Order Paper NowAssignment ID: FG133140578
Question – PARTNERSHIP – Abel and Cain are in partnership. They share profits in the ratio;70% for Abel and 30% for Cain. The following trial balance was extracted as at 31 December 2019.
|
Debit |
Credit |
|
|
$$ |
$$ |
|
|
Office equipment at cost |
9200 |
|
|
Motor vehicle at cost |
21400 |
|
|
Provision for Depreciation at 31 December 2018: |
||
|
Motor vehicle |
12800 |
|
|
Office equipment |
3600 |
|
|
Inventory at 31 December 2018 |
38410 |
|
|
Trade payables |
32216 |
|
|
Trade receivables |
41940 |
|
|
Cash at bank |
2118 |
|
|
Cash in hand |
317 |
|
|
Sales |
180400 |
|
|
Purchases |
136680 |
|
|
Salaries |
27400 |
|
|
Office Expenses |
2130 |
|
|
Discount allowed |
312 |
|
Current accounts at 31 December 2018 |
||
|
Abel |
7382 |
|
|
Cain |
7009 |
|
|
Capital accounts: Abel |
50000 |
|
|
Cain |
20000 |
|
|
Drawings: Abel |
17500 |
|
|
Cain |
16000 |
|
|
313407 |
313407 |
Additional information:
1. Inventory at 31 December 2019 $41312.
2. Office expenses owing- $240
3. Provide for depreciation: Motor vehicle- 25% of cost and Office equipment- 20% of cost.
4. Charge interest on capital at 5% per annum.
5. Charge interest on drawings: Abel- $300 and Cain- $200.
Required –
1. Prepare the Profit or Loss Appropriation account for the year ended 31 December 2019.
2. Prepare Statement of Financial Position as at 31 December 2019.
Looking for a Similar Assignment? Let us take care of your classwork while you enjoy your free time! All papers are written from scratch and are 100% Original. Try us today! Use Code FREE15
Chat with us on Whatsapp