1.
Introduction:
To state: The one responsible for preparation of financial statements of the company.
2.
Introduction: Balance sheet is one of the mandatory financial statements. It shows that the summation of equity and liabilities equal to the assets of the company. It helps the users of financial statements to analyze the financial position of the firm.
To state: The one responsible for audit of financial statements of the company.
3.
Introduction: Balance sheet is one of the mandatory financial statements. It shows that the summation of equity and liabilities equal to the assets of the company. It helps the users of financial statements to analyze the financial position of the firm.
To state: The reason why the one responsible for preparation of financial statements is not appointed to audit the statements as well.
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- Calculate the inventory days on hand, assuming:arrow_forwardAdam, Azim and Akbar were equal partners in a firm. Each partner contributed capital of RO 15,000, RO 10,000 and RO 5,000 on 1st January 2022. General reserve of the firm was 18,000 and Un-distributed Profits of RO 15,000 on 31st December 2022. The value of goodwill in the balance sheet was RO 25,000. Mr. Adam met an accident and he died on 30th September 2022. The partnership provides that the representative of the deceased partner shall be entitled to balance of the capital account of the deceased partner. Interest on capital @ 5% is allowed as per partnership deed. His share of profits up to date of death on the average of last 3 years’ profit. Profits for the last 3 years was R.O 6000, R.O 2000 and R.O 1,500. Calculate the amount payable to legal representative of Mr. Adam. Also prepare the necessary ledger accounts. All calculations and the ledgers should be handwritten. You should upload the photo of your calculations and ledgers on the e-learning.arrow_forwardPlease provide correct answerarrow_forward
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