S. Ahmed, Bola and Chukwu are sharing profits/losses in the ratio 2:2:1, decided to dissolve the partnership on 31/12/ with the Statement of financial position (or Balance Sheet) shown below: Ahmed, Bola & Chukwu Statement of Financial position at 30/12/2015 Non-Current Assets: Equipment Current Assets: Motor Vehicle Inventories Trade Receivables Bank balance N750000 375000 200000 112500 52500 Equity & Liabilities: Equity: Ahmed N975000 Bola 325000 50000 Chukwu Ahmed - 17500 Bola (7500) Chukwu 5000 Creditors - 75000 Loan-Bola- 50000 N1490000 Current account 2009 Current Liabilities: N1490000 he partners were unable to sell the business as a going concern. They therefore disposed the assets sep rately fo llowing amounts:- Equipment N775000; Motor Vehicle N120000; Inventories N72500. Trade receivable paid in fu ade Payables gave discount totaling N2500, Dissolution cost totaled N20000. Required: Prepare the necessary counts to close the books of the partnership.
S. Ahmed, Bola and Chukwu are sharing profits/losses in the ratio 2:2:1, decided to dissolve the partnership on 31/12/ with the Statement of financial position (or Balance Sheet) shown below: Ahmed, Bola & Chukwu Statement of Financial position at 30/12/2015 Non-Current Assets: Equipment Current Assets: Motor Vehicle Inventories Trade Receivables Bank balance N750000 375000 200000 112500 52500 Equity & Liabilities: Equity: Ahmed N975000 Bola 325000 50000 Chukwu Ahmed - 17500 Bola (7500) Chukwu 5000 Creditors - 75000 Loan-Bola- 50000 N1490000 Current account 2009 Current Liabilities: N1490000 he partners were unable to sell the business as a going concern. They therefore disposed the assets sep rately fo llowing amounts:- Equipment N775000; Motor Vehicle N120000; Inventories N72500. Trade receivable paid in fu ade Payables gave discount totaling N2500, Dissolution cost totaled N20000. Required: Prepare the necessary counts to close the books of the partnership.
Chapter11: Partnerships: Distributions, Transfer Of Interests, And Terminations
Section: Chapter Questions
Problem 4BCRQ
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Transcribed Image Text:S. Ahmed, Bola and Chukwu are sharing profits/losses in the ratio 2:2:1, decided to dissolve the partnership on 31/12/
with the Statement of financial position (or Balance Sheet) shown below:
Ahmed, Bola & Chukwu
Statement of Financial position at 30/12/2015
Non-Current Assets: Equipment
Current Assets:
Motor Vehicle
Inventories
Trade Receivables
Bank balance
N750000
375000
200000
112500
52500
Equity & Liabilities: Equity: Ahme* N975000
Bola
325000
Chukwu
50000
Ahmed - 17500
Bola
(7500)
Chukwu 5000
Creditors
75000
Loan-Bola- 50000
N1490000
Current account
year ea
Current Liabilities:
N1490000
The partners were unable to sell the business as a going concern. They therefore disposed the assets separately fo
following amounts:- Equipment N775000; Motor Vehicle N120000; Inventories N72500. Trade receivable puid in fu
Trade Payables gave discount totaling N2500. Dissolution cost totaled N20000. Required: Prepare the necessary
accounts to close the books of the partnership.
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