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Question: Some years ago, John and George combined thek separate businesses in Oxtown and Camley into a partnership. The following abbreviated Trial Balances were extracted from the books of the two branches at 31st October, 1961:
Prepare Trading and Profit & Loss Accounts for the Year ended 31st October, 1961, and a Balance Sheet of the partnership at that date. The difference on Branch Current Accounts arises because of a remittance from Camley which had not arrived at Oxtown on 31st October, 1961. The partners are entitled to 20% of the Net Profit (calculations to nearest £) of the branch they manage and then to equal shares in the rest. Also give the Camley Branch Account in the Oxtown books after the years closing entries have been made.
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