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

Preparation of financial statements — practice question

P and Q operate as partners, dividing profits and losses equally. The information given for P is as follows. Opening current account credit balance: $\$20\,150$ Share of asset revaluation: $\$10\,000$ Drawings: $\$10\,200$ The partnership’s total profit for the year amounted to $\$130\,000$. Partnership salaries were: P $\$20\,000$, Q $\$30\,000$. What is the year-end balance on P’s current account?

  • A$\$10\,350$
  • B$\$69\,950$
  • C$\$79\,950$
  • D$\$90\,350$

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI