Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

table [ [ , Deblit,Credit ] , [ Capital: Charles, R , ] , [ Capital: Toni,, 1 5 0 0 0 0 0

\table[[,Deblit,Credit],[Capital: Charles,R,],[Capital: Toni,,1500000],[Current account: Charles (01 March 2023),,1200000],[Current account: Toni (01 March 2023),50000,],[Drawings: Charles,500000000,],[Drawings: Toni,400000,]]
The following must be considered:
(1) The net profit according to Statement of Comprehensive income for the year ended 29 February 2024 amounted to R1000000.
(2) The partners are entitled to interest on their capitals at a rate of 15% per year. Charles increased his capital contribution by R300000 on 01 September 2023. The capital change has been recorded.
(3) The partners are entitled to the following salaries:
Charles R21000 per month
Toni R23000 per month
(4) Charles is entitled to a special bonus equal to 10% of the nel profit (before any appropnations)
(5) The remaining profit or shortfall must be shared between Charles and Ton in the ratio 32 respectively.
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Accounting A Decision Emphasis

Authors: Germain Boer, Debra Jeter

5th Edition

0759341559, 978-0759341555

More Books

Students also viewed these Accounting questions

Question

Give a counterexample to show that (A + B)-1 A-1 + B-1 in general.

Answered: 1 week ago