Khanyisile and Tinyiko are business partners

in Ride4Yours, a partnership business based in Malelane that manufactures

specialised helmets for motorcycle riders. The business prides itself on using

eco-friendly materials, making their helmets not only durable but also safe and

sustainable for the environment.

Khanyisile is passionate about motorcycle

riding, while Tinyiko is an advocate for sustainability and green business

solutions. Together, they aim to position Ride4Yours as a leading brand in the

motorcycle safety industry.

Below is the

relevant information regarding the partnership’s financial activities for the

year ending 30 June 2024.

Balances as at

30 June 2024:

2.         Supplementary information:

2.1       Details

of the partnership agreement between the partners:

2.1.1    An annual

interest rate of 6% is applied to the opening balances of the partners’ capital

and current accounts.

2.1.2    Profits and

losses are shared equally between Khanyisile and Tinyiko.

2.1.3    The monthly

salaries to which the partners are entitled are R15 000 and R20 000 for  Khanyisile and Tinyiko respectively. As of 30

June 2024, the salaries paid to the partners were only up to 30 April 2024.

2.2       Adjustments

at the end of the year:

2.2.1    The

business aimed to expand its operations by acquiring additional warehouse for new

range of helmets. On 30 June 2024, Mbombela Bank provided a loan of R468 000 to facilitate the purchase of the warehouse. The warehouse was acquired

on 2 July 2024 at the cost of R468,000. This loan is

classified as long-term, with an 8% annual interest rate, to be repaid over 6

years with equal instalments starting from 30 June 2025. This transaction has

not yet been recorded.

2.2.1    On 30 June

2023, it was decided that an outstanding debt of R21 700 owed to the business was unlikely to be recovered and should be written

off as bad debt.

REQUIRED:

Assuming

that the profit available for distribution to partners amounted to R560 000. What is the correct balance of

Instructions:

1.     Round off all your answers to the nearest rand (eg: 50.56 = 51)

2.     Don’t use any special characters (&) and don’t use bold in your answer.

3.     Do not use any abbreviations.

4.     Do not use brackets () to indicate a negative amount, instead use the minus sign “–“, e.g. (50) will be indicated as -50.

Khanyisile and Tinyiko are business partners

in Ride4Yours, a partnership business based in Malelane that manufactures

specialised helmets for motorcycle riders. The business prides itself on using

eco-friendly materials, making their helmets not only durable but also safe and

sustainable for the environment.

Khanyisile is passionate about motorcycle

riding, while Tinyiko is an advocate for sustainability and green business

solutions. Together, they aim to position Ride4Yours as a leading brand in the

motorcycle safety industry.

The following

information pertains to the business activities as of February 28, 2025:

Extract of

given amounts as at 28 February 2025:

Additional

information:

1.1       Partnership agreement:

1.1.1    An annual interest rate of 12% is applied to

the capital account balances.

1.1.2    Khanyisile and Tinyiko agreed to share

profits and losses equally.

1.1.3    Each partner has a monthly salary

entitlement of R12,000.

2          Year-end adjustments:

2.1.      The security expenses billed to the

business every month include a R700 monthly fee for security at Tinyiko’s

private house. The security bill amounting to R2 900 for February 2025 has not yet been accounted

for.

2.2.      The

long-term loan with Mbombela Bank secured by land and buildings, bearing a 11.4% annual interest rate, was secured on June 1, 2024, with interest payments due semi-annually

at the end of December and May.

2.3.      During the year, 3 helmets valued at R5 500 each were borrowed

to Khanyisile’s friends for a weekend ride as part of marketing campaign. After

the weekend, Khanyisile decided to take two of the helmets for her personal use for

weekend rides.  This adjustment is yet to

be made.

2.4.      The

inventory's value was calculated to be R209 000

as of February 28, 2025.

2.5.      Khanyisile withdrew his salary from March-2024 to December-2024, whilst Tinyiko withdrew her salary for only 8 months of the financial year. The total amounts paid

was debited to the salaries and wages account.

REQUIRED:

What

is the 

Instructions:

1.    

Round off all your answers to the nearest rand (eg:

50.56 = 51)

2.     Don’t use any special characters (&) and don’t use bold in your answer.

3.     Do not use any abbreviations.

4.    

Do not use brackets () to

indicate a negative amount, instead use the minus sign “–“, e.g. (50) will be indicated as -50.

Khanyisile and Tinyiko are business partners

in Ride4Yours, a partnership business based in Malelane that manufactures

specialised helmets for motorcycle riders. The business prides itself on using

eco-friendly materials, making their helmets not only durable but also safe and

sustainable for the environment.

Khanyisile is passionate about motorcycle

riding, while Tinyiko is an advocate for sustainability and green business

solutions. Together, they aim to position Ride4Yours as a leading brand in the

motorcycle safety industry.

The following

information pertains to the business activities as of February 28, 2025:

Extract of

given amounts as at 28 February 2025:

1.1       Partnership agreement:

1.1.1    An annual interest rate of 12% is applied to

the capital account balances.

1.1.2    Khanyisile and Tinyiko agreed to share

profits and losses equally.

1.1.3    Each partner has a monthly salary

entitlement of R12,000.

2          Year-end adjustments:

2.1.      The security expenses billed to the

business every month include a R700 monthly fee for security at Tinyiko’s

private house. The security bill amounting to R2 900 for February 2025 has not yet been accounted

for.

2.2.      The

long-term loan with Mbombela Bank secured by land and buildings, bearing a 11.4% annual interest rate, was secured on June 1, 2024, with interest payments due semi-annually

at the end of December and May.

2.3.      During the year, 3 helmets valued at R5 500 each were borrowed

to Khanyisile’s friends for a weekend ride as part of marketing campaign. After

the weekend, Khanyisile decided to take two of the helmets for her personal use for

weekend rides.  This adjustment is yet to

be made.

2.4.      The

inventory's value was calculated to be R209 000

as of February 28, 2025.

2.5.      Khanyisile withdrew his salary from March-2024 to December-2024, whilst Tinyiko withdrew her salary for only 8 months of the financial year. The total amounts paid

was debited to the salaries and wages account.

REQUIRED:

What

is the correct amount that must be disclosed as

Instructions:

1.    

Round off all your answers to the nearest rand (eg:

50.56 = 51)

2.     Don’t use any special characters (&) and don’t use bold in your answer.

3.     Do not use any abbreviations.

4.    

Do not use brackets () to

indicate a negative amount, instead use the minus sign “–“, e.g. (50) will be indicated as -50.

Khanyisile and Tinyiko are business partners

in Ride4Yours, a partnership business based in Malelane that manufactures

specialised helmets for motorcycle riders. The business prides itself on using

eco-friendly materials, making their helmets not only durable but also safe and

sustainable for the environment.

Khanyisile is passionate about motorcycle

riding, while Tinyiko is an advocate for sustainability and green business

solutions. Together, they aim to position Ride4Yours as a leading brand in the

motorcycle safety industry.

Below is the

relevant information regarding the partnership’s financial activities for the

year ending 30 June 2024.

Balances as at

30 June 2024:

2.         Supplementary information:

2.1       Details

of the partnership agreement between the partners:

2.1.1    An annual

interest rate of 6% is applied to the opening balances of the partners’ capital

and current accounts.

2.1.2    Profits and

losses are shared equally between Khanyisile and Tinyiko.

2.1.3    The monthly

salaries to which the partners are entitled are R15 000 and R20 000 for  Khanyisile and Tinyiko respectively. As of 30

June 2024, the salaries paid to the partners were only up to 30 April 2024.

2.2       Adjustments

at the end of the year:

2.2.1    The

business aimed to expand its operations by acquiring additional warehouse for new

range of helmets. On 30 June 2024, Mbombela Bank provided a loan of R468 000 to facilitate the purchase of the warehouse. The warehouse was acquired

on 2 July 2024 at the cost of R468,000. This loan is

classified as long-term, with an 8% annual interest rate, to be repaid over 6

years with equal instalments starting from 30 June 2025. This transaction has

not yet been recorded.

2.2.1    On 30 June

2023, it was decided that an outstanding debt of R21 600 owed to the business was unlikely to be recovered and should be written

off as bad debt.

REQUIRED:

What

is the correct amount which must be disclosed as

Instructions:

1.     Round off all your answers to the nearest rand (eg: 50.56 = 51)

2.     Don’t use any special characters (&) and don’t use bold in your answer.

3.     Do not use any abbreviations.

4.     Do not use brackets () to indicate a negative amount, instead use the minus sign “–“, e.g. (50) will be indicated as -50.

Khanyisile and Tinyiko are business partners

in Ride4Yours, a partnership business based in Malelane that manufactures

specialised helmets for motorcycle riders. The business prides itself on using

eco-friendly materials, making their helmets not only durable but also safe and

sustainable for the environment.

Khanyisile is passionate about motorcycle

riding, while Tinyiko is an advocate for sustainability and green business

solutions. Together, they aim to position Ride4Yours as a leading brand in the

motorcycle safety industry.

Below is the

relevant information regarding the partnership’s financial activities for the

year ending 30 June 2024.

Balances as at

30 June 2024:

2.         Supplementary information:

2.1       Details

of the partnership agreement between the partners:

2.1.1    An annual

interest rate of 6% is applied to the opening balances of the partners’ capital

and current accounts.

2.1.2    Profits and

losses are shared equally between Khanyisile and Tinyiko.

2.1.3    The monthly

salaries to which the partners are entitled are R15 000 and R20 000 for  Khanyisile and Tinyiko respectively. As of 30

June 2024, the salaries paid to the partners were only up to 30 April 2024.

2.2       Adjustments

at the end of the year:

2.2.1    The

business aimed to expand its operations by acquiring additional warehouse for new

range of helmets. On 30 June 2024, Mbombela Bank provided a loan of R468 000 to facilitate the purchase of the warehouse. The warehouse was acquired

on 2 July 2024 at the cost of R468,000. This loan is

classified as long-term, with an 8% annual interest rate, to be repaid over 6

years with equal instalments starting from 30 June 2025. This transaction has

not yet been recorded.

2.2.1    On 30 June

2023, it was decided that an outstanding debt of R21 600 owed to the business was unlikely to be recovered and should be written

off as bad debt.

REQUIRED:

What

is the correct amount that must be disclosed as

Instructions:

1.     Round off all your answers to the nearest rand (eg: 50.56 = 51)

2.     Don’t use any special characters (&) and don’t use bold in your answer.

3.     Do not use any abbreviations.

4.     Do not use brackets () to indicate a negative amount, instead use the minus sign “–“, e.g. (50) will be indicated as -50.

Khanyisile and Tinyiko are business partners

in Ride4Yours, a partnership business based in Malelane that manufactures

specialised helmets for motorcycle riders. The business prides itself on using

eco-friendly materials, making their helmets not only durable but also safe and

sustainable for the environment.

Khanyisile is passionate about motorcycle

riding, while Tinyiko is an advocate for sustainability and green business

solutions. Together, they aim to position Ride4Yours as a leading brand in the

motorcycle safety industry.

Below is the

relevant information regarding the partnership’s financial activities for the

year ending 30 June 2024.

Balances as at

30 June 2024:

2.         Supplementary information:

2.1       Details

of the partnership agreement between the partners:

2.1.1    An annual

interest rate of 6% is applied to the opening balances of the partners’ capital

and current accounts.

2.1.2    Profits and

losses are shared equally between Khanyisile and Tinyiko.

2.1.3    The monthly

salaries to which the partners are entitled are R15 000 and R20 000 for  Khanyisile and Tinyiko respectively. As of 30

June 2024, the salaries paid to the partners were only up to 30 April 2024.

2.2       Adjustments

at the end of the year:

2.2.1    The

business aimed to expand its operations by acquiring additional warehouse for new

range of helmets. On 30 June 2024, Mbombela Bank provided a loan of R468 000 to facilitate the purchase of the warehouse. The warehouse was acquired

on 2 July 2024 at the cost of R468,000. This loan is

classified as long-term, with an 8% annual interest rate, to be repaid over 6

years with equal instalments starting from 30 June 2025. This transaction has

not yet been recorded.

2.2.1    On 30 June

2023, it was decided that an outstanding debt of R21 800 owed to the business was unlikely to be recovered and should be written

off as bad debt.

REQUIRED:

What

is the correct amount that must be disclosed as

Instructions:

1.     Round off all your answers to the nearest rand (eg: 50.56 = 51)

2.     Don’t use any special characters (&) and don’t use bold in your answer.

3.     Do not use any abbreviations.

4.     Do not use brackets () to indicate a negative amount, instead use the minus sign “–“, e.g. (50) will be indicated as -50.