this contains the solutions of exercises for unit 4 to 6 of introduction to financial accounting
each unit has its own solution
check out my FIN ACC package as well
INTRODUCTION TO FINANCIAL ACCOUNTING
REVISION EXERCISES 2: MEMO
1.
1.1
DR CURRENT A/C: JAN CR
Date Details Fol Amount Date Details Fol Amount
2023 2022
Feb 28 Drawings: Jan 130 000 Mar 01 Balance b/d 16 000
Balance c/d 157 500 2023
Feb 28 Interest on capital: 90 000
Jan
Partner’s salaries: 108 000
Jan
Bonus: Jan 45 000
Appropriation a/c 28 500
287 500 287 500
Mar 01 Balance b/d 157 500
1.2
DR APPROPRIATION A/C CR
Date Details Fol Amount Date Details Fol Amount
2023 2023
Feb 28 Interest on capital: 90 000 Feb 28 Profit and loss 450 000
Jan
Interest on capital: 54 000
Sen
Partner’s salaries: 108 000
Jan
Partner’s salaries: 96 000
Sen
Bonus: Jan 45 000
Current a/c: Jan 28 500
Current a/c: Sen 28 500
450 000 450 000
, Page 2 of 9
Workings: Interest on capital
Jan Sen
R400 000 X 18% X 6/12 R36 000 R200 000 X 18% X 6/12 18 000
R600 000 X 18% X 6/12 54 000 R400 000 X 18% X 6/12 36 000
R90 000 54 000
1.3
STATEMENT OF NET INVESTMENT OF PARTNERS
R R
Profit for the period 450 000
Interest on capital 144 000
Jan 90 000
Sen 54 000
Partners’ salaries 204 000
Jan 108 000
Sen 96 000
Bonus 45 000
Jan 45 000
Share of remaining profit 57 000
Jan 28 500
Sen 28 500
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