Question $1$

$[35$ Marks$]$

Xee and Yee are in partnership and they share profits and losses in the ratio of $2$:$1$ respectively. Zee is admitted as a partner on $30$ June $2023.$ The new profit$-$sharing ratio between Xee, Yee, and Zee will be $2$:$1$:$1$ respectively.

Xee and Yee partnership

Statement of financial position at $30$ June $2023$

$\backslash$table$[[$ASSETS$,],[$Non$-$current assets,$],[$Property$,$ plant and equipment,R$],[$Current assets,$80000],[$Inventories$,],[$Trade and other receivables,$],[$Cash and cash equivalents,$90000],[$Total assets,$44000],[26000,],[$EQUITY AND LIABILITIES,$20000],[$Capital and reserves,$170000],[$Capital $-$ Xee,$],[$Capital $-$ Yee,$],[$General reserve,$150000],[$Current liabilities,$80000],[$Trade and other payables,$40000],[$Total equity and liabilities,$30000]]$

Additional information:

For the purposes of the change in ownership the following agreement was reached:

$1.$Credit losses should be provided for at $5\%$ of the carrying amount of accounts receivable.

$2.$ Inventories should be valued at R$60000.$

$3.$ Land and buildings should be valued at market value, namely R$120000.$

$4.$ Zee would bring R$40000$ in cash into the business.

$5.$Tangible assets should not be shown at the revalued amounts.

Question $1$

$[35$ Marks$]$

Xee and Yee are in partnership and they share profits and losses in the ratio of $2$:$1$ respectively. Zee is admitted as a partner on $30$ June $2023.$ The new profit$-$sharing ratio between Xee, Yee, and Zee will be $2$:$1$:$1$ respectively.

Xee and Yee partnership

Statement of financial position at $30$ June $2023$

$\backslash$table$[[$ASSETS$,$R$],[$Non$-$current assets,$],[$Property$,$ plant and equipment,$],[$Current assets,$80000],[$Inventories$,],[$Trade and other receivables,$],[$Cash and cash equivalents,$90000],[$Total assets,$44000],[$EQUITY AND LIABILITIES,$26000],[\backslash$table$[[$Capital and reserves$],[$Capital $-$ Xee$],[$General reserve$]],170000],[$Current liabilities,$],[$Trade and other payables,$150000],[$Total equity and liabilities,$80000]]$

Additional information:

For the purposes of the change in ownership the following agreement was reached:

$1.$Credit losses should be provided for at $5\%$ of the carrying amount of accounts receivable.

$2.$ Inventories should be valued at R$60000.$

$3.$ Land and buildings should be valued at market value, namely R$120000.$

$4.$ Zee would bring R$40000$ in cash into the business.

$5.$Tangible assets should not be shown at the revalued amounts.

$\backslash$table$[[$QUESTION $1$: REQUIRED,MARKS,$],[\backslash$table$[[$Prepare the following ledger accounts for the partnership at $30$ June$],[20\mathrm{.}23]],,],[1\mathrm{.}1,$Valuation account,$13],[1\mathrm{.}2,$General reserve account,$6],[1\mathrm{.}3,$Capital accounts for Xee, Yee and Zee,$16],[$Total marks,$35$