RIVERSIDE CC Statement of financial position as at 31 December 2020 2020 2019 N$ N$ ASSETS Non-current assets 220 000 220 000 Current assets 123 000 77 000 352 000 297 000 CAPITAL AND LIABILITIES Members' contributions: 180 000 180 000 Beo(50%) 70 000 70 000 Reo(35%) 50 000 50 000 60 000 60 000 Teo(15%) Retained earnings 90 000 65 000 Non -current liabilities 45 000 45 000 Current liabilities 37 000 7 000 352 000 297 000 REQUIRED: 1. Calculate the new membership interests and show the statement of changes in net membership investment and membership interest in each of the following instances separately. a) Beo decides to sell 1/5 of his current interest to Reo. The interest is valued at N$25 000 of which N$15 000 has been deposited into the bank account of the CC as loan from Beo. The balance of the amount has been paid to Beo as his own funds. (8 marks) b) The CC buy back the interest of Teo for N$50 000. (4 marks) RIVERSIDE CC Statement of financial position as at 31 December 2020 2020 2019 N$ N$ ASSETS Non-current assets 220 000 220 000 Current assets 123 000 77 000 352 000 297 000 CAPITAL AND LIABILITIES Members' contributions: 180 000 180 000 Beo(50%) 70 000 70 000 Reo(35%) 50 000 50 000 60 000 60 000 Teo(15%) Retained earnings 90 000 65 000 Non -current liabilities 45 000 45 000 Current liabilities 37 000 7 000 352 000 297 000 REQUIRED: 1. Calculate the new membership interests and show the statement of changes in net membership investment and membership interest in each of the following instances separately. a) Beo decides to sell 1/5 of his current interest to Reo. The interest is valued at N$25 000 of which N$15 000 has been deposited into the bank account of the CC as loan from Beo. The balance of the amount has been paid to Beo as his own funds. (8 marks) b) The CC buy back the interest of Teo for N$50 000. (4 marks)