Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

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

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

14th edition

1337270598, 978-1337270595

Students also viewed these Accounting questions

Question

What is presence information? How can it be useful?

Answered: 1 week ago

Question

=+What are the states of nature?

Answered: 1 week ago

Question

Explain the importance of Human Resource Management

Answered: 1 week ago

Question

Discuss the scope of Human Resource Management

Answered: 1 week ago

Question

Discuss the different types of leadership

Answered: 1 week ago

Question

Write a note on Organisation manuals

Answered: 1 week ago