Nurul and Fiza are partners of a day care centre called Happy Kids, which they formed on 1 January 2017. Nurul contributed RM80,000 cash and equipment worth RM20,000 to the partnership. Fiza contributed RM30,000 cash and a building worth RM150,000. For financial year ended 31 December 2017, the partnership had a net income of RM150,000.

Nurul and Fiza are partners of a day care centre called Happy Kids, which they formed on 1 January 2017. Nurul contributed RM80,000 cash and equipment worth RM20,000 to the partnership. Fiza contributed RM30,000 cash and a building worth RM150,000. For financial year ended 31 December 2017, the partnership had a net income of RM150,000.

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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Question

prepare the journal entry to record the investment of both partner in the partnership

Nurul and Fiza are partners of a day care centre called Happy Kids, which they formed on 1
January 2017. Nurul contributed RM80,000 cash and equipment worth RM20,000 to the
partnership. Fiza contributed RM30,000 cash and a building worth RM150,000. For financial
year ended 31 December 2017, the partnership had a net income of RM150,000.

Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.

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