REQUIRED

Prepare the Statement of Changes in Equity for the year ended $29$ February $2024.$

INFORMATION

The information given below was extracted from the accounting records of Benson Traders, a

partnership business with Bennie and Sonny as partners.

Extract from the ledger of Benson Traders as at $29$ February $2024$

Debit $($R$)$ Credit $($R$)$

Capital: Bennie $1000000$

Capital: Sonny $800000$

Current a$/$c: Bennie $(01$ March $2023)60000$

Current a$/$c: Sonny $(01$ March $2023)80000$

Drawings: Bennie $500000$

Drawings: Sonny $600000$

The following must be considered:

$(1)$ The Statement of Comprehensive Income for the year ended $29$ February $2024$ reflected a net

profit of R$1200000.$

$(2)$ The partnership agreement provided for interest on capitals at $15\%$ p$.$a$.$ on the balances in the

capital accounts. However, the partners agreed to increase the interest rate to $18\%$ p$.$a$.$ with

effect from $01$ September $2023.$ Bennie also increased his capital contribution by R$200000$ on

the same date. The capital change has been recorded.

$(3)$ The partners are entitled to the following monthly salaries:

Bennie R$20000$

Sonny R$18000$

$(4)$ Sonny is entitled to a special bonus of $10\%$ of the net profit $($before any appropriations$).$

$(5)$ The balance of the profit or loss must be shared between Bennie and Sonny in the ratio of their

capital balances at the beginning of the financial year.