NOTE: DO NOT COPY OR USE THE ANSWERS ALREADY UPLOADED ON CHEGG, PLEASE TRY TO USE A LITTLE DIFFERENT WAY INTO THE PARTICULARS.

ALSO SHOW WORKINGS ON HOW YOU GET MOST OF THE FIGURES. PLEASE

Mintah and Hudah are in partnership, sharing profits and losses in the ratio 3:2. Their financial position as at 31st December 2018 is as follows: GHC GHC GHC Non-current Assets: Freehold Premises: cost 30,000 Fixtures and Fittings: Cost 5,000 Depreciation 4,000 1,000 Motor Vehicle: Cost 4,000 1,000 3,000 34,000 20,000 600 54,600 20,000 Depreciation Current Assets: Receivables Cash at Hand 20,600 Total Assets Capital and Liabilities: Capital accounts Mintah Hudah Current accounts: Mintah Hudah Non-current Liabilities: Loan: Mintah Current liabilities: Payables Total liabilities 2,500 22,500 3,000 500 3,500 16,000 12,600 54,600 Linda Co. is incorporated for the purpose of taking over the business. It is to acquire the Freehold Premises at a valuation of Ghc40,000 and the other assets (with the exception of cash and motor vehicles) at carrying amount. These values are to be introduced to Linda Co. books. The current liabilities are also taken over by the new company. The purchase consideration of Ghc60,000 is to be settled by 30,000 Ghc1 ordinary shares in Linda Co. and cash of Ghc30,000 obtained by a bank overdraft. Hudah is to take over both cars at a valuation of Ghc2,500 and the partners have agreed to divide the shares in their profit and loss sharing ratio. Mintah's loan is to be repaid in cash by the partnership. a) Prepare the Capital Account b) Prepare the Realization Account c) Prepare Linda Co. Account d) Prepare the Bank Account