A-LevelAccountingPartnership AccountsMay/June 2021Paper 1 Q131 Mark
V and E are in partnership, sharing profits and losses equally. Their capital accounts showed the following credit balances at 31 March 2021. $ V 80 000 E 40 000 Z was admitted as a partner on 1 April 2021. At that date the following items were taken into account. 1 Non-current assets were revalued downwards by $20000. 2 Goodwill was valued at $80000, but will not remain in the books of account after Z is admitted. The new profit-sharing ratio will be V 40%, E 30% and Z 30%. What was the balance on E's capital account after the admission of Z?
A$30000
B$46000
C$56 000
D$70000
✓ Correct Answer
The correct answer is B. This question tests the candidate's understanding of partnership accounts within the Accountingsyllabus. The examiner's mark scheme requires...
📋 Examiner Report & Trap Analysis
Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...
🔒
Unlock the Examiner's Answer
Sign up for free to reveal the correct answer, the official mark scheme breakdown, and the examiner trap analysis for this question.
Sign Up Free to Unlock →Join thousands of Cambridge students already using Oracle Prep