Accounting 9706 · AS & A Level · Preparation of financial statements

Preparation of financial statements — practice question

Refer to Source A4 in the insert.
(a)[3]

State three characteristics that describe a joint venture.

(b(i))[7]

Prepare the account for the joint venture.

(b(ii))[4]

Prepare the account for the joint venture with Tan in Wang’s books.

(b(iii))[3]

Prepare the account for the joint venture with Wang in Tan’s books.

(c)[8]

Explain two benefits for Tan and two for Wang of selling the ornaments in the city on consignment.

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