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Question 1 (4 marks) Ali and Omar and Saif agreed to form a general partnership company with a total capital of JD150.000 distributed equally
Question 1 (4 marks) Ali and Omar and Saif agreed to form a general partnership company with a total capital of JD150.000 distributed equally among them. The partner Ali contribute cash of JD 50,000. Omar contribute cash of JD 50,000. Saif contribute cash of JD 30,000 Required: Prepare the journal entries to record each of the partners' investments according: 1) Goodwill method 2) Bonus method. Question 2 (8 marks) Ahmad and Hamzeh are partners in a firm. Their capital accounts showed the balance on Jan 1, 2022 as JD 70,000, JD 60,000 respectively. And share Profits & Losses 40%, 60% respectively, they have agreed to admit Karam as a new partner in the company. Karam will invest JD 50,000 cash for 20% of capital & profits after admission. Required: 1) Journalize the entry to record the admission of Karam by using Goodwill method. 2) Journalize the entry to record the admission of Karam by using bonus method. 3) Capital balance of the firm after admission by using Goodwill method equal 4) Capital balance of the firm after admission by using bonus method equal 5) Hamzeh's new profit-sharing ratio after the admission equal ...... 6) Ahmad's share capital balance after admission by using Goodwill method equal ................... 7) Hamzeh's share capital balance after admission by using bonus method equal _
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