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Mpiyakhe and Phumasilwe are in the business of water purification and supply in a form of a partnership trading as Mhlathuze Water. The partners
Mpiyakhe and Phumasilwe are in the business of water purification and supply in a form of a partnership trading as Mhlathuze Water. The partners are sharing profits and losses equally. On 30 July 2022 the following information was extracted from the accounting records of the partnership: EXTRACT OF GIVEN INFORMATION FOR MHLATHUZE WATER Current account - Mpiyakhe (Dr). Current account - Phumasilwe (Dr). Capital Mpiyakhe... Capital Phumasilwe....... Additional information Mpiyakhe and Phumasilwe decided to admit Dlame from 1 August 2022. Dlame will contribute the following to acquire a fifth of the net asset share of the partnership: Cash.... Purification equipment worth... .R49 800 . Mpiyakhe and Phumasilwe agreed to relinquish 20% of their share in profits or losses to Dlame in the ratio of 3:1 R 39 700 24 800 108 900 96 500 .R18 300
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