The first question: Amer, Hassan and Saad agreed to form a solidarity company on 7/11/2019 to sell furniture and furnishings to buy furniture and furnishings with a capital of 100,000 dinars between the partners to: 1. Profits and losses are distributed in the ratio of 3: 2: 5, respectively. 2. Partner Amer and Hassan pay their shares in cash, which are 20,000 and 30,000, respectively. 3. The partner Saad pays his share in the capital of Asaad and the liabilities of his establishment detailed in the condition that the rest of the receivable is paid in cash. Statement book value preferred value Goods 12000 13000 Accounts receivable 8,000 8,000 NS. blood. It has 500600 14000 . cars compound depreciation 8,000 Car book value 6,000 9,000 Accounts Payable 2,000 2,000 Required: Making the journal entries to be included in the formation of the new company, as well as copying the company’s balance sheet on 7/11/2019.
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 first question: Amer, Hassan and Saad agreed to form a solidarity company on 7/11/2019 to sell furniture and furnishings to buy furniture and furnishings with a capital of 100,000 dinars between the partners to:
1.
2. Partner Amer and Hassan pay their shares in cash, which are 20,000 and 30,000, respectively.
3. The partner Saad pays his share in the capital of Asaad and the liabilities of his establishment detailed in the condition that the rest of the receivable is paid in cash.
Statement book value preferred value
Goods 12000 13000
Accounts receivable 8,000 8,000
NS. blood. It has 500600
14000 . cars
compound
Car book value 6,000 9,000
Accounts Payable 2,000 2,000
Required: Making the
Step by step
Solved in 3 steps with 2 images
