Donal and David have been in business as a partnership for a number of years sharing profits in the ratio of 41 and entitled to annual salaries of R20 000 and R12 000 respectively. Interest on capital allowed is 3% per annum. Donal and David each take drawings from the partnership of R500 per month The partnership accounts are prepared annually to 31 December On 1 July 2013, Damian was admitted as a partner and from that day forward, the new partnership terms agreed were as follows: 1 Annual salanes for Donal, David and Damian to be R16 000, R12 000 and R8 000 respectively. There or interest on capital is to stay the same as the old partnership. The amount paid on the closing balance in the capital account on 31 December Interest is calculated as mg balance was in the capital account for the full year and is paid on 31 December the Profits or losses to be shared between Donal David and Damian in the ratio 1:11 Donal and David monthly drawings will continue and Damian is allowed to withdraw R400 a month Interest on drawings of 5% is calculated at the end of the year based on the closing amount of drawings at the year-end On 1 July, Damian paid R35 000 into the partnership bank account. R24 000 of this was in respect of the share of goodwill acquired by him. The partners do not want to have goodwill in their partnership accounts and therefore, the full amount of the R24 000 was credited to Damian's capital account. Any goodwill created on initiation of the new partnership is to be cancelled and allocated to the partners capital accounts in the new profit sharing ratio. On 1 July, Donal withdrew R10 000 from his capital account The profit of the partnership for the year ended 31 December 2013 amounted to R180 000, which accrues evenly over the year. The opening balances on Donal and David's capital and current accounts were as follows Donal David Capital Account Current Account 40,000 10,000 20,000 6.000 Prepare the following accounts: REQUIREMENT: (a The partners capital accounts for the year ended 31 December 2013 to reflect the admission of Damian (2 Marks) (b) The Profit & Loss appropriation account(s) for the year ended 31 December 2013 (c) (4 Marks) The partners current accounts for the year ended 31 December 2013 (2 Marks)