QUESTION 3 Part A Martin and Brett share profits on a 60:40 basis respectively. On 1 July 2019 the equity accounts were as follows. Capital Retained earnings Martin Brett $540 000 $460 000 160000 130 000 The partners were entitled to 12% interest on capital. Brett ran the business and received a salary of $80 000. During the year Martin withdrew $48 000 in cash and Brett withdrew $12 000. The profits for the year ended 30 June 2020 were $500 000 before providing for interest on capital balances and Brett's salary. Required: (a) Prepare the Profit Distribution accounts and partners' Retained Earnings accounts for the year ended 30 June 2020. Part QUESTION 3 A Retained Earnings accounts for the year ended 30 June 2020 QUESTION 3 Part A Protist po 6 06 Martin, Retald Karing Baline Beer, Retained Earning 12 Balance QUESTION 3 Part B Mack and Hunt agreed to combine their businesses and forma partnership to trade as M&H Trading Ltd. The Balance Sheets for their respective individual trading operations are shown below. Mark Trading Balance Sheet Balance Sheet Asa Neher 1.2020 Asa Nember 1, 2020 As 8.000 Accom Real 13.00 Account Reche 7.000 Ivy 14,000 56.00 Premis 7.000 Tutal Assets 56.600 Total Amets 17.100 Liabilities Ache 1.000 Accuyable La 5.000 21000 Basked Mongage 45,000 99.000 Owners Iquity 16.000 Onnerley The followi terms were agreed to on formation of the partnership . Mack's Accounts Receivable were expected to realise $12.000 and the van had an agreed value of $10,000 Hunt's premises were taken into the partnership accounts QUESTION 3 Part B ii. MAH Trading Lid Balance Sheet asat November 2000