FACULTY OF COMMERCE, MANAGEMENT AND LAW Question 2 ( 32 Marks) Matheus and Hamalwa were in a partnership and traded toge

[answerhappygod]

Faculty Of Commerce Management And Law Question 2 32 Marks Matheus And Hamalwa Were In A Partnership And Traded Toge 1 (49.75 KiB) Viewed 16 times

FACULTY OF COMMERCE, MANAGEMENT AND LAW Question 2 ( 32 Marks) Matheus and Hamalwa were in a partnership and traded together for some time. On 01 July 2020 Matheus decided to withdraw from the partnership to start his own practice. Their abridged statement of financial position as at 30 June 2020 was: ASSETS EQUITY & LIABILITIES NS 38,000.00 Property, Plant & Equipement (PPE) Accumulated depreciation:PPE Vehicles 76,250.00 Capital: Matheus (10,000,00) Capital: Harnabwa 32,600.00 10,875.00 32,500.00 Current account: Matheux (12,500.00) Cument account: Hurubwa. Accumulated depreciation Vehicle | Trade receivable 13,800.00 Loan: Tymelank 15,500.00 Allowance for had dichts 8,750.00 |(1,750.00) |Trade payable 21,150.00 Cash 119,450.00 Transactions for July 2020: 1. Trade receivable who owed N$ 10 025.00 settled their accounts in full. 2. The trades payable were settled in full. 3. A vehicle was sold for NS 9 750.00 with a carrying value of NS 12 500.00 4. A vehicle was sold for N$ 7 500.00 with a carrying value of NS 3 000.00 5. The loan from TymeBank was repaid in full. 6. The equipment was disposed of for NS 25 000.00 7. Land and building was sold by public auction for N$ 35 000.00 You are required to: 2.1 Do the journal entries to record Matheus withdrawal from the partnership. ( 12 Marks) 2.2 Prepare the following accounts to show the liquidation and dissolution of Matheus and Hamalwas Partnership: a. Realisation account. (6 Marks) b. Capital accounts of the partners (in a columnar form) in the general ledger. (8 Marks) 2.3 Mention and discuss three factors that may lead to the dissolution of a partnership. (6 Marks)