The newest 18 of 18 written questions. Open one to see it on the real paper.
Prepare the realisation account if option 1 is adopted.
See it on the paper →Calculate the amount of cash payable to or receivable from each partner if option 1 is adopted. Omira $ Peter $ Cash
See it on the paper →Prepare the bank account of the partnership, showing the entries to close the business if option 1 is adopted.
See it on the paper →Discuss whether Harry should be comparing the profit margin of the company with that of the partnership.
See it on the paper →Complete the following statement to calculate the capital account balance of each partner in the new partnership at 1 January 2023. Balance at 31 December 2022 Ray $ Steve $ Tina $ 198 000 177 000 186 000 Balance at 1 January 2023 Workings:
See it on the paper →Prepare the statement of financial position of the new partnership at 1 January 2023. Additional information The profit of the new partnership for the year ended 31 December 2023 was $150 000.
See it on the paper →State four provisions of the Partnership Act 1890 that would apply in the absence of a partnership agreement.
See it on the paper →Prepare journal entries in the books of X Limited to record the acquisition of the partnership. Narratives are not required. Additional information With the cash she has received, Alice is considering setting up a new business trading in wood on her own.
See it on the paper →the profit on the joint venture
See it on the paper →the amount paid to each party when the joint venture bank account was closed. Ajlal Daneen
See it on the paper →Advise Rafiq which option he should choose. Justify your answer by discussing both financial and non-financial issues of each option.
See it on the paper →Prepare, on the next page, the partners’ capital accounts to record the retirement of Feroz. Bipin $ Feroz $ Neeru $ Capital accounts Bipin $ Feroz $ Neeru $ Additional information Bipin and Neeru have agreed the following for the new partnership. 1 They will no longer use current accounts. Each partner’s current accou...
See it on the paper →State three reasons why VC plc might want to buy the partnership.
See it on the paper →State three ways in which the purchase consideration might be settled. Additional information Arthur says that as there were only two partners, he is entitled to receive half of the purchase consideration.
See it on the paper →Advise Belinda whether or not she should agree to Arthur receiving half of the purchase consideration. Justify your answer. Additional information VC plc took over all the assets and liabilities of the partnership except for the bank account. The assets were revalued for the purposes of the sale. The book value of the...
See it on the paper →Suggest two reasons for the difference in the values for the equipment.
See it on the paper →the total profit on realisation made by the partnership.
See it on the paper →Explain the treatment of the total profit on realisation made by the partnership in (e)(ii).
See it on the paper →The majority of candidates were able to provide a correct response to this task requiring the identification of four provisions of the Partnership Act 1890 to be applied in the absence of a partnership agreement.
— Examiner report, October/November 2023, 9706/21 Q1(d) (Cambridge)
The journal entries were generally well prepared with some candidates being awarded full marks. The most common errors were the failure to split the share capital and share premium and the omission or miscalculation of goodwill.
— Examiner report, May/June 2023, 9706/32 Q3(d) (Cambridge)
The profit on the joint venture was correctly calculated by relatively few candidates with a range of errors including the incorrect treatment of the fittings and the inclusion of the capital. There were also few fully correct calculations of the final balances paid with many candidates omitting the capital and / or profit.
— Examiner report, October/November 2022, 9706/32 Q1(a) (Cambridge)
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