Accounting 9706 · AS & A Level · Accounting for non-current assets

Accounting for non-current assets — practice question

X, Y and Z are partners, and they share profits and losses equally. At 31 December 2020, the balance on X’s capital account was $100000 and the credit balance on X’s current account was $80000. X retired on 1 January 2021. Non-current assets and goodwill were revalued upwards by a combined total of $60000. On retirement, X left half of the amount owing to her as a loan to the partnership. The remaining amount was settled by cheque. What amount was paid to X?

  • A$40000
  • B$60000
  • C$100000
  • D$120000

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