1. The following balances were extracted from the books of Ben and Ken as at 31/12/2017:

Capital Accounts: Sh.

Ben 400,000

Ken 300,000

Current Accounts:

Ben 34,500 Cr

Ken 26,800 Dr

Drawings:

Ben 80,000

Ken 120,000

Net profit for the year 447,750

The following information is also available from their partnership agreement:

1. The partners are entitled to receive 5% interest on capital
2. Ken is to receive a partnership salary of Sh. 60,000
3. Interest is to be charged on drawings as follows: Ben Sh. 2000; Ken Sh. 1250
4. Ben and Ken are to share profits and losses in the ratio 3:2

Required; a) Show the profit and loss appropriation account for the year ended 31 Dec 2017

b) Show the partners capital and current accounts for the year ended 31 December 2017

3. Show how the profits/losses would be distributed and how much each partner would receive if there was no partnership agreement