The joint operation accounts in the books of the operators, Jam, Jem, and Jim, show the balances below, upon the termination of the joint operation and distribution of the profits: Accounts Jam Dr (Cr) Jem Dr (Cr) Jim Dr (Cr) Jam - P5,000 P5,000 Jem P8,000 - 8,000 Jim (13,000) (13,000) - REQUIRED: The final settlement of the joint operation will require payment as follows: 3. Amount paid by Jam to Jim ____________ 4. Amount paid by Jem to Jim ___
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
The joint operation accounts in the books of the operators, Jam, Jem, and Jim, show the balances below,
upon the termination of the joint operation and distribution of the profits:
Accounts Jam Dr (Cr) Jem Dr (Cr) Jim Dr (Cr)
Jam - P5,000 P5,000
Jem P8,000 - 8,000
Jim (13,000) (13,000) -
REQUIRED:
The final settlement of the joint operation will require payment as follows:
3. Amount paid by Jam to Jim ____________
4. Amount paid by Jem to Jim ___
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