Ram and Shyam undertook jointly to build a house for a company at an agreed price of BDT 60,000, payable BDT45,000 in cash and the balance in fully paid shares of the new company. A Joint Banking Account was opened intheir names into which Ram paid BDT 15,000 and Shyam paid BDT 10,000. Profit sharing ratio between Ram andShyam was 3:2. From the following transactions, prepare Joint Venture Account, Joint Bank Account and theVenturers Personal Account closing the venture: Materials purchased BDT 20,000; Wages paid BDT 15,000;Materials supplied from Stock by Ram BDT 3,000 and Shyam BDT 2,500 respectively. Architect's fees BDT 1,000was paid by Shyam.The joint venture was closed by Ram taking up all the shares of the company at an agreed valuation of BDT 12,000and Shyam taking up the stock of surplus materials at an agreed valuation of BDT 1,500. The contract was dulycompleted and the price was received.Prepare Joint Venture Account, Joint Bank Account and accounts of the venturers.

Joint venture definition:- Joint venture is one of the unique type of commercial partnership where…

Answered: als supplied from Sto- id by Shyam. nt…

Business

Accounting

als supplied from Sto- id by Shyam. nt venture was closed yam taking up the st

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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