John, Lee and Tony are in partnership, preparing accounts to 31 October each year. Their partnership...
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John, Lee and Tony are in partnership, preparing accounts to 31 October each year. Their partnership agreement states that: (i) The partners are entitled to 5% per annum interest on their opening capital accounts. No interest is allowed (or charged) on current account balances. John Lee Tony RM50,000 RM30,000 RM10,000 (ii) Interest is charged on the partners' drawings at 7% per annum. Their drawings during the year to 31 October 2022 were as follows: John Lee Tony RM30,000 RM20,000 RM3,000 (iii) Partners' annual salaries are RM6,000 and RM 12,000 for Lee and Tony respectively. (iv) Remaining profits and losses are shared between John, Lee and Tony in the ratio of 5:4:1. (v) The partnership's net profit for the year to 31 October 2021 is RM81,961. Required: Prepare the partners appropriation account for the year ended 31 October 2022. (15 marks) The following is the trial balance for Akima Sdn. Bhd. as at 31 December 2022: DR RM 6,723 18,910 Bank Trade receivables Trade payables Inventory at 31 December 2021 Buildings at cost Equipment at cost Accumulated profits as at 31 December 2021 General reserve Foreign exchange reserve Ordinary share capital Purchases Sales Carriage inwards Carriage outwards Salaries Rates and occupancy expenses Office expenses Sundry expenses Accumulated depreciation at 31 December 2021: Buildings Equipment Directors' remuneration 40,360 100,000 45,000 72,360 1,570 1,390 18,310 4,235 3,022 1,896 9,500 CR RM 12,304 15,286 8,000 4,200 100,000 135,486 32,000 16,000 Additional information: i. ii. Inventory at 31 December 2022 amounted to RM52,360. Rates owing RM280, office expenses owing RM190. Dividend of 10 per cent proposed. Transfers to reserves: General RM 1,000; Foreign exchange RM800. V. Depreciation on cost: Buildings 5 per cent; Equipment 20 per cent. iii. iv. Required: Prepare the Statement of Comprehensive Income for the year ended 31 December 2022 and the Statement of Financial Position for Akima Sdn. Bhd. as at 31 December 2022. (40 marks) END OF QUESTION PAPER John, Lee and Tony are in partnership, preparing accounts to 31 October each year. Their partnership agreement states that: (i) The partners are entitled to 5% per annum interest on their opening capital accounts. No interest is allowed (or charged) on current account balances. John Lee Tony RM50,000 RM30,000 RM10,000 (ii) Interest is charged on the partners' drawings at 7% per annum. Their drawings during the year to 31 October 2022 were as follows: John Lee Tony RM30,000 RM20,000 RM3,000 (iii) Partners' annual salaries are RM6,000 and RM 12,000 for Lee and Tony respectively. (iv) Remaining profits and losses are shared between John, Lee and Tony in the ratio of 5:4:1. (v) The partnership's net profit for the year to 31 October 2021 is RM81,961. Required: Prepare the partners appropriation account for the year ended 31 October 2022. (15 marks) The following is the trial balance for Akima Sdn. Bhd. as at 31 December 2022: DR RM 6,723 18,910 Bank Trade receivables Trade payables Inventory at 31 December 2021 Buildings at cost Equipment at cost Accumulated profits as at 31 December 2021 General reserve Foreign exchange reserve Ordinary share capital Purchases Sales Carriage inwards Carriage outwards Salaries Rates and occupancy expenses Office expenses Sundry expenses Accumulated depreciation at 31 December 2021: Buildings Equipment Directors' remuneration 40,360 100,000 45,000 72,360 1,570 1,390 18,310 4,235 3,022 1,896 9,500 CR RM 12,304 15,286 8,000 4,200 100,000 135,486 32,000 16,000 Additional information: i. ii. Inventory at 31 December 2022 amounted to RM52,360. Rates owing RM280, office expenses owing RM190. Dividend of 10 per cent proposed. Transfers to reserves: General RM 1,000; Foreign exchange RM800. V. Depreciation on cost: Buildings 5 per cent; Equipment 20 per cent. iii. iv. Required: Prepare the Statement of Comprehensive Income for the year ended 31 December 2022 and the Statement of Financial Position for Akima Sdn. Bhd. as at 31 December 2022. (40 marks) END OF QUESTION PAPER
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Partners Appropriation Account for the Year ended 31 October 2022 Partners Salaries Lee RM6000 Tony ... View the full answer
Related Book For
Smith and Roberson Business Law
ISBN: 978-0538473637
15th Edition
Authors: Richard A. Mann, Barry S. Roberts
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