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On January 1 , Riya and Syed entered a partnership of textile exports and imports. They agreed to distribute profits and losses in a ratio

 
 

On January 1, Riya and Syed entered a partnership of textile exports and imports. They agreed to distribute profits and losses in a ratio of 3:2. They contributed the following assets to the partnership: Riya contributed $45,000 in cash. Syed contributed equipment valued at $25,000.  On 31 December they earned a profit net income of $100,000

Year 2 On July 22, Ken joined the partnership with a bonus. Ken invested $20,000 in cash. The profit or loss agreement will be 3:2:1 once Ken is admitted. On 31 December they earned a profit of $150,000

Year 3  On February 14, Sam was admitted to the partnership without a bonus. Partner Sam contributed $20,000 in cash. The profit or loss agreement will be 3:2:1:1 once Sam is admitted.

On 31 December they earned a profit of $175,000  After two years, on March 1, Riya decided to retire. The remaining partnership agreed to settle Riya's capital account on the basis of their revised profit and loss ratio of 2:2:1.  On 31 December the firm earned a profit of $165,000

Based on the given transaction, complete the following tasks:

Journalize the transaction. Compute the distribution of profit and loss of the partners. Calculate the bonus.

Calculate the contribution of partners toward the withdrawal.

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