Dellow and Coucom are in partnership in a business which has three retail departments, Television, Computing and Telephones. The following balances. were extracted from the business accounts at 30 April 2002.

Notes 

The following must now be taken into consideration. Stocks at 30 April 2002:

Stock taking is computerised and is based solely on sales and purchases no physical stock check has been taken. 

Accruals at 30 April 2002:

Number of sales staff employed:

Commission is paid to sales staff at 1% of Sales.

Depreciation is charged to Motor Vehicles and Furniture & Fittings at 20% per annum on cost. 

Floor space (square metres):  

Expenses are apportioned as follows:

Dellow and Coucom share profits in the ratio of their Capital accounts, which at 1 May 2001 were: Dellow $60 000, Coucom $40 000. 

Interest on capital is payable at 1% of opening capital. Cash drawings for the year were Dellow, $15 000 and Coucom, $4000. 

Interest is chargeable on drawings at 2% of total drawings for the year. Coucom is paid a Partnership salary of $7600. During the year Coucom took from stock for her own use a Television costing $1000. No entries were made for this in the accounts.

(a) Prepare, in columnar format, Departmental Trading and Profit and Loss Accounts for the year ended 30 April 2002. 

(b) Prepare the Partnership Appropriation Account for the year ended 30 April 2002. 

(c) It has been suggested that any department that is making a loss should be closed. Comment on this suggestion

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Dr $ Purchases and Sales Television 120 000 Computing 220 000 Telephones maman 40 000 56 000 Wages Stocks at 1 May 2001 Television Sales staff salaries General expenses Office salaries Advertising Computing to Telephones Rent PAN Electricity Insurance Motor Vehicles at cost Fittings at costanlaut Furniture & Fittings at cost HOUSTOOK 8.000 19 000 3 000 147 000 5.000 avod Cr $ 214 000 428 000 107 000 08 21000 Biel min) 35 000 14 000 40 000 mocne wnd on 9.000 5.000 45 000 HISTOR 30 000 6200 faste