Document3- Word PAGE LAYOUT REFERENCES MAILINGS REVIEW VIEW FOXIT READER PDF ERT DESIGN 습 Hyperfink A Signature Line A Date & Time P Bookmark Quick WordArt Drop Сap Text Pictures Online Shapes...

Extracted text: Document3- Word PAGE LAYOUT REFERENCES MAILINGS REVIEW VIEW FOXIT READER PDF ERT DESIGN 습 Hyperfink A Signature Line A Date & Time P Bookmark Quick WordArt Drop Сap Text Pictures Online Shapes SmartArt Chart Screenshot Apps for Online Video Page Number- Comment Header Footer C Cross-reference Box- Parts DObject - Office Pictures Links Comments Header & Footer Text IlMustrations Apps Media Adax Designs Services is a partnership with Adam and Max as partners. The partnership has been operating successfully for a number of years now. The partners have a written partnership agreement. The following information was extracted from the accounting records of Adax. Design Services for the financial year ended 28 February 2021: R Balances in the ledger as at 28 February 2021 Land and buildings at cost Accumulated depreciation: buildings Equipment at carrying amount Debtors 835 000 (65 000) 270 000 103 000 400 000 Capital- Andile Capital- Sipho Current account- Andile Credit balance (1 March 2020) Current account -Sipho – Debit balance (1 March 2020 Drawings - Andile: General Drawings - Sipho: General Net profit for the year ended 28 February 2021 300 000 40 000 20 000 130 000 102 000 800 000 The following must still be taken into account: 1. The partnership agreement makes provision for the following: • Interest on capital must be provided at 12% per year on the balances in the capital accounts for the period 1 March 2020 to 31 August 2020. The interest rate WORDS Desktop 16°C e here to search pockard bell


Extracted text: Document3 - Word FILE HOME INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS REVIEW VIEW FOXIT READER PDF E Cover Page - A Hyperlink 2 Sign. #3 D Blank Page Bookmark Date Pictures Online Shapes SmartArt Chart Screenshot Apps for Office Table Online Comment Header Footer Page Text Quick WordArt Drop Page Break Video Cross-reference Pictures Number- Box Parts - Cap- DObje Pages Tables Illustrations Apps Media Links Comments Header & Footer Text capital accounts for the period1 March 2020 to 31 August 2020. The interest rate increases to 15% per year for the remainder of the year ie 1 September 2020 to 28 February 2021. The capital accounts remained unchanged. • Interest on current accounts must be provided at 12% per year on the opening balances of the current accounts. • The partners are entitled to the following monthly salaries: - Andile R18 000 per month for a full year. - Sipho R20 000 per year for the full year. • Andile and Sipho withdrew 50% of their monthly salaries in cash as drawings. These amounts are not included in the drawings account shown above. • Sipho is entitled to a special bonus equal to 2,5% of the net profit for the year. • Andile and Sipho share profits and losses in the ratio of 3:2 respectively. Required: Use the information provided above to prepare the statement of changes in equity (current accounts only) for the year ended 28 February 2021. Use the following format: Capital accounts section is NOT required. Statement of changes in equity for the year ended 28 February 2021 Curont A cconnte only PAGE 4 OF 8 2124 WORDS Sinho Annronuintios P Type here to search