Teoh, Meng and Chen are partners sharing profits and losses equally. The business performs has the following Statement of Financial Position as at 31 December 2021. Accumulated Non-current assets Net book value (RM) 168,000 158,550 42,000 368,550 depreciation (RM) Cost (RM Furniture and fittings 203,000 238,000 73,500 (35,000) (79,450) (31,500) (145,950) Motor vehicles Office equipment 514,500 Current assets Cash and bank Debtors 127,050 168,000 Other receivables 134,400 429,450 Current liabilities Accrued expenses Creditors 25,900 121,100 (147.000) Working capital Net assets 282,450 651,000 Financed by: Capital -Teoh 210,000 -Meng -Chen 178,500 262,500 651,000 Total capital Teoh retired at 31 December 2021. The followings were the additional information: • Furniture and fittings RM189,000 Motor vehicle RM168,000 • Office equipment RM53,550 Goodwill was determined at RM84,000. • Teoh would take over the office equipment in part payment of the amount due • Meng and Chen would pay RM105,000 and RM63,000 respectively to the business for additional capital Required: Prepare the ledger of revaluation account, bank account and capital accounts.

Teoh, Meng and Chen are partners sharing profits and losses equally. The business performs has the following Statement of Financial Position as at 31 December 2021. Accumulated Non-current assets Net book value (RM) 168,000 158,550 42,000 368,550 depreciation (RM) Cost (RM Furniture and fittings 203,000 238,000 73,500 (35,000) (79,450) (31,500) (145,950) Motor vehicles Office equipment 514,500 Current assets Cash and bank Debtors 127,050 168,000 Other receivables 134,400 429,450 Current liabilities Accrued expenses Creditors 25,900 121,100 (147.000) Working capital Net assets 282,450 651,000 Financed by: Capital -Teoh 210,000 -Meng -Chen 178,500 262,500 651,000 Total capital Teoh retired at 31 December 2021. The followings were the additional information: • Furniture and fittings RM189,000 Motor vehicle RM168,000 • Office equipment RM53,550 Goodwill was determined at RM84,000. • Teoh would take over the office equipment in part payment of the amount due • Meng and Chen would pay RM105,000 and RM63,000 respectively to the business for additional capital Required: Prepare the ledger of revaluation account, bank account and capital accounts.

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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