Accounting Questions and Answers

Recognition of profit when goods are sold and the buyer takes ownership of them is in line with

Ata, Bubu and Chikum were in partnership sharing profits and losses in proportion to their capital contributions:

             Capital     Drawings
Ata       40,000       8,000
Bubu    30,000      5000
Chikum 20,000        -
Net profit for the year was 40,500 and the interest on capital was 5% per annum

Bubu's share of profit is

Ata. Bubu and Chikum were in partnership sharing profits and losses in proportion to their capital contributions:

             Capital     Drawings
Ata       40,000       8,000
Bubu    30,000      5000
Chikum 20,000        -
Net profit for the year was 40,500 and the interest on capital was 5% per annum.

The balance in Chikum's Current Account is

Ata, Bubu and Chikum were in partnership sharing profits and losses in proportion to their capital contributions:

             Capital     Drawings
Ata       40,000       8,000
Bubu    30,000      5000
Chikum 20,000        -
Net profit for the year was 40,500 and the interest on capital was 5% per annum.

The profit available for sharing by the partners is 

A total of D 9,160 was entered in the sales account as D9,610. To correct this error: debit