Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Mark and John are partners in a business. Mark's initial capital was 250,000, and John's was 200,000. During the year, Mark made an additional investment

  1. Mark and John are partners in a business. Mark's initial capital was ₹250,000, and John's was ₹200,000. During the year, Mark made an additional investment of ₹30,000 and John ₹25,000. The business incurred a net profit of ₹40,000, which is to be shared in the ratio of their original capital contributions. Compute the ending capital balances for both Mark and John.

Partner

Initial Capital

Additional Investment

Net Profit Share

Ending Capital

Mark

₹250,000

₹30,000

?

?

John

₹200,000

₹25,000

?

?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Accounting What the Numbers Mean

Authors: David Marshall, Wayne McManus, Daniel Viele

11th edition

1259535312, 978-1259535314

More Books

Students also viewed these Accounting questions

Question

Describe several strategies for relieving stress.

Answered: 1 week ago

Question

What do you earn in your current position?

Answered: 1 week ago

Question

How important are flexible working hours to you?

Answered: 1 week ago