Good day, Would you please guide me, in how I would go about answering the following question.

The first part has to do with partnerships.

The second with ratios and the second Goodwill.

If you could please guide me systematically, how you would answer this question, so that I can learn and also do it myself - I would appreciate it.

Thank you for your help - let me know if need anything else

1. EXTRACT of balances as at 28 February 2020: R Allowance for credit losses. Bank (cr). Bank charges.... Capital: S van Wyk Capital: Khumalo ......... Current account: S van Wyk (dr). Current account: B Khumalo (cr). Trade debtors control... Drawings: S van Wyk.......... Drawings: B Khumalo. Equipment at cost...... Vehicles at cost Accumulated depreciation: Equipment (1 March 2019). Accumulated depreciation: Vehicles (1 March 2019)... Insurance .......... Interest on bank overdraft... Interest on long-term loan... Inventory (1 March 2019)... Delivery expenses (on sales). Long-term loan....... Purchases........ Purchases returns Rent paid............ Salaries and wages. Sales......... Settlement discount granted. Stationery (purchased). 3 000 32 280 400 50 000 60 000 4 000 3 000 64 500 45 000 15 000 45 000 63 950 4 500 7 000 500 1 610 3 000 88 400 3 600 30 000 252 130 2 130 12 000 33 750 398 270 1 140 1 200 2. Additional information: 2.1 The allowance for credit losses must be adjusted to R3 500. 2.2 The original loan was acquired from Bowler Bank on 1 March 2018 at 12% interest per annum, payable every six months. A further loan of R20 000 was acquired on 01 November 2019 from Bowler Bank. The capital amount of the loan is repayable in 5 equal instalments with the first instalment due on 1 March 2022. ASSIGNMENT 01 - SECOND SEMESTER (continued) 2.3 Provision must be made for depreciation on equipment at 15% per annum on the straight line method. 2.4 A new vehicle with a value of R33 950 was purchased on 01 September 2019. Depreciation is provided at 20% per annum on the diminishing balance method on all vehicles. 2.5 Inventory on hand at 28 February 2020: Merchandise: R83 000 Stationery: R 120 QUESTION 1 Which one of the following alternatives represents the correct amount that must be disclosed as gross profit in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R141 730 2. R142 610 3. R143 730 4. R142 870 QUESTION 2 Which one of the following alternatives represents the correct amount that must be disclosed as depreciation in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R19 540 2. R18 140 3. R14 745 4.R16 145 ASSIGNMENT 01 - SECOND SEMESTER (continued) QUESTION 3 Assuming that the depreciation only for this question amounted to R10 000. Which one of the following alternatives represents the correct amount that must be disclosed as "Distribution, administrative and other expenses" in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R62 330 2. R56 330 3. R58 230 4. R61 830 QUESTION 4 Which one of the following alternatives represents the correct amount that must be disclosed as "Finance Costs in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R4 400 2. R6 010 3. R6 410 4. R6 000 QUESTION 5 Joseph and Jane are in partnership and they share profits and losses in the ratio of 3:2, respectively. They decided to admit Anton as a partner and a fifth interest in the partnership was sold to him. Joseph and Jane relinquished Anton's interest to him in the proportion of 2:1, respectively. Which one of the following alternatives indicates the correct new profit-sharing ratio? 1. Joseph, Jane and Anton's new profit-sharing ratio is 3:2:1, respectively 2. Joseph, Jane and Anton's new profit-sharing ratio is 7:5:3, respectively 3. Joseph, Jane and Anton's new profit-sharing ratio is 12:8:5, respectively 4. Joseph, Jane and Anton's new profit-sharing ratio is 1:1:1, respectively QUESTION 7 Assuming that the profit from liquidation amounted to R50 000 only for this question. Which alternative shows the correct balances on the capital accounts of Antoinette, Belinda and Cynthia immediately after to the profit/loss made on the liquidation of Beta Training was allocated to their capital accounts? 1. Antoinette: R469 600(cr); Belinda: R274 200(cr); Cynthia: R90 400(cr) 2. Antoinette: R494 600(cr); Belinda: R324 200(cr); Cynthia: R100 600(cr) 3. Antoinette: R582 125(cr); Belinda: R328 715(cr); Cynthia: R135 410(cr) Antoinette: R557 125(cr); Belinda: R371 715(cr); Cynthia: R125 410(cr) This information relates to questions 8 and 9: Tick and Tack are in partnership, trading as Time Traders, and they share the profits/losses in the ratio of 2:1 respectively. For the purpose of admitting Minnie to the partnership on 1 March 2020 Tick and Tack, valued the partnerships assets as follows: The land and buildings with a carrying amount of R1 650 000 were valued at a fair value of R2 000 000, and the furniture and equipment, with a carrying amount of R640 000, were valued at a fair value of R620 000. Debtors amounted to R60 000. Tick and Tack decided to provide for credit losses of R7 000 on debtors. Bank amounted to R25 000. Minnie contributed a delivery vehicle valued at R460 000 and cash amounting to R140 00 for a one fifth share in a partnership. Tick, Tack and Minnie will share in the profits/losses of the new partnership, which will trade as Nano Traders, in the ratio of 2:2:1 respectively. QUESTION 8 Which one of the following alternative is the correct goodwill calculation for Time Traders? 1. R300 000 2. R327 000 3. R295 000 4. R302 000 1. EXTRACT of balances as at 28 February 2020: R Allowance for credit losses. Bank (cr). Bank charges.... Capital: S van Wyk Capital: Khumalo ......... Current account: S van Wyk (dr). Current account: B Khumalo (cr). Trade debtors control... Drawings: S van Wyk.......... Drawings: B Khumalo. Equipment at cost...... Vehicles at cost Accumulated depreciation: Equipment (1 March 2019). Accumulated depreciation: Vehicles (1 March 2019)... Insurance .......... Interest on bank overdraft... Interest on long-term loan... Inventory (1 March 2019)... Delivery expenses (on sales). Long-term loan....... Purchases........ Purchases returns Rent paid............ Salaries and wages. Sales......... Settlement discount granted. Stationery (purchased). 3 000 32 280 400 50 000 60 000 4 000 3 000 64 500 45 000 15 000 45 000 63 950 4 500 7 000 500 1 610 3 000 88 400 3 600 30 000 252 130 2 130 12 000 33 750 398 270 1 140 1 200 2. Additional information: 2.1 The allowance for credit losses must be adjusted to R3 500. 2.2 The original loan was acquired from Bowler Bank on 1 March 2018 at 12% interest per annum, payable every six months. A further loan of R20 000 was acquired on 01 November 2019 from Bowler Bank. The capital amount of the loan is repayable in 5 equal instalments with the first instalment due on 1 March 2022. ASSIGNMENT 01 - SECOND SEMESTER (continued) 2.3 Provision must be made for depreciation on equipment at 15% per annum on the straight line method. 2.4 A new vehicle with a value of R33 950 was purchased on 01 September 2019. Depreciation is provided at 20% per annum on the diminishing balance method on all vehicles. 2.5 Inventory on hand at 28 February 2020: Merchandise: R83 000 Stationery: R 120 QUESTION 1 Which one of the following alternatives represents the correct amount that must be disclosed as gross profit in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R141 730 2. R142 610 3. R143 730 4. R142 870 QUESTION 2 Which one of the following alternatives represents the correct amount that must be disclosed as depreciation in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R19 540 2. R18 140 3. R14 745 4.R16 145 ASSIGNMENT 01 - SECOND SEMESTER (continued) QUESTION 3 Assuming that the depreciation only for this question amounted to R10 000. Which one of the following alternatives represents the correct amount that must be disclosed as "Distribution, administrative and other expenses" in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R62 330 2. R56 330 3. R58 230 4. R61 830 QUESTION 4 Which one of the following alternatives represents the correct amount that must be disclosed as "Finance Costs in the statement of profit or loss and other comprehensive income of Bafana Traders for the year ended 28 February 2020? 1. R4 400 2. R6 010 3. R6 410 4. R6 000 QUESTION 5 Joseph and Jane are in partnership and they share profits and losses in the ratio of 3:2, respectively. They decided to admit Anton as a partner and a fifth interest in the partnership was sold to him. Joseph and Jane relinquished Anton's interest to him in the proportion of 2:1, respectively. Which one of the following alternatives indicates the correct new profit-sharing ratio? 1. Joseph, Jane and Anton's new profit-sharing ratio is 3:2:1, respectively 2. Joseph, Jane and Anton's new profit-sharing ratio is 7:5:3, respectively 3. Joseph, Jane and Anton's new profit-sharing ratio is 12:8:5, respectively 4. Joseph, Jane and Anton's new profit-sharing ratio is 1:1:1, respectively QUESTION 7 Assuming that the profit from liquidation amounted to R50 000 only for this question. Which alternative shows the correct balances on the capital accounts of Antoinette, Belinda and Cynthia immediately after to the profit/loss made on the liquidation of Beta Training was allocated to their capital accounts? 1. Antoinette: R469 600(cr); Belinda: R274 200(cr); Cynthia: R90 400(cr) 2. Antoinette: R494 600(cr); Belinda: R324 200(cr); Cynthia: R100 600(cr) 3. Antoinette: R582 125(cr); Belinda: R328 715(cr); Cynthia: R135 410(cr) Antoinette: R557 125(cr); Belinda: R371 715(cr); Cynthia: R125 410(cr) This information relates to questions 8 and 9: Tick and Tack are in partnership, trading as Time Traders, and they share the profits/losses in the ratio of 2:1 respectively. For the purpose of admitting Minnie to the partnership on 1 March 2020 Tick and Tack, valued the partnerships assets as follows: The land and buildings with a carrying amount of R1 650 000 were valued at a fair value of R2 000 000, and the furniture and equipment, with a carrying amount of R640 000, were valued at a fair value of R620 000. Debtors amounted to R60 000. Tick and Tack decided to provide for credit losses of R7 000 on debtors. Bank amounted to R25 000. Minnie contributed a delivery vehicle valued at R460 000 and cash amounting to R140 00 for a one fifth share in a partnership. Tick, Tack and Minnie will share in the profits/losses of the new partnership, which will trade as Nano Traders, in the ratio of 2:2:1 respectively. QUESTION 8 Which one of the following alternative is the correct goodwill calculation for Time Traders? 1. R300 000 2. R327 000 3. R295 000 4. R302 000