Question
Jas, Jis, and Jus are three members to the partnership 3J sharing profit 4:3:1 respectively. on the 1 st of January 2018, the three of
Jas, Jis, and Jus are three members to the partnership 3J sharing profit 4:3:1 respectively. on the 1st of January 2018, the three of them decide to terminate their partnership. The balance sheet immediately prior to this is shown below:
Balance sheet as at 31st December 2017
RM
RM
Assets
Freehold building
120,000
Vehicle (cost price RM 108,000)
48,000
Equipment (cost price RM 65,000)
25,000
Inventories
61,250
Account Receivable
48,150
Bank
22,000
Total Assets
324,400
Capital and Liabilities
Capital:
Jas
120,000
Jis
80,000
Jus
60,000
260,000
Current Account:
Jas
5,200
Jis
6,400
Jus
2,800
14,400
Loan Jas
20,000
Liabilities
Account Payable
30,000
324,400
All of the assets except for one vehicle are to be realized. By agreement with the creditors, they are willing for a settlement of RM 29,500. Realization expense amount to RM 2,500 and one of the two cars is to be taken by Jus personally at a valuation of RM 20,000. The realization values are as follow:
RM
Freehold building
150,000
Vehicle
22,000
Equipment
12,000
Inventories
40,000
Account Receivable
46,000
REQUIRED:
I. Calculate the total proceed from the realization in RM
II. What is the share of realization loss for Jas
III. What is the share of realization loss for Jis
IV. What is the share of realization loss for Jus
V. How much is the capital repayment to Jas
VI. How much is the capital repayment to Jis
How much is the capital repayment to
Jas, Jis, and Jus are three members to the partnership 3J sharing profit 4:3:1 respectively. on the 1st of January 2018, the three of them decide to terminate their partnership. The balance sheet immediately prior to this is shown below:
Balance sheet as at 31st December 2017
| RM | RM |
Assets |
|
|
Freehold building |
| 120,000 |
Vehicle (cost price RM 108,000) |
| 48,000 |
Equipment (cost price RM 65,000) |
| 25,000 |
Inventories |
| 61,250 |
Account Receivable |
| 48,150 |
Bank |
| 22,000 |
|
|
|
Total Assets |
| 324,400 |
|
|
|
Capital and Liabilities |
|
|
|
|
|
Capital: |
|
|
Jas | 120,000 |
|
Jis | 80,000 |
|
Jus | 60,000 |
|
|
| 260,000 |
Current Account: |
|
|
Jas | 5,200 |
|
Jis | 6,400 |
|
Jus | 2,800 |
|
|
| 14,400 |
Loan Jas |
| 20,000 |
|
|
|
Liabilities |
|
|
Account Payable |
| 30,000 |
|
| 324,400 |
|
|
|
All of the assets except for one vehicle are to be realized. By agreement with the creditors, they are willing for a settlement of RM 29,500. Realization expense amount to RM 2,500 and one of the two cars is to be taken by Jus personally at a valuation of RM 20,000. The realization values are as follow:
| RM |
|
|
Freehold building | 150,000 |
Vehicle | 22,000 |
Equipment | 12,000 |
Inventories | 40,000 |
Account Receivable | 46,000 |
REQUIRED:
I. Calculate the total proceed from the realization in RM
II. What is the share of realization loss for Jas
III. What is the share of realization loss for Jis
IV. What is the share of realization loss for Jus
V. How much is the capital repayment to Jas
VI. How much is the capital repayment to Jis
How much is the capital repayment toStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started