FRA June 06 - Goodwill

Gemmar

I am completing practice papers for tomorrow. Just completing this one and I just cannot understand how you know Pat paid 80,000 from her bank into the business. It seems key to answering this question correctly!:confused1:

Ed1

It states it on page 14, under Data (b).

Rachey

Gemmar wrote: »

I am completing practice papers for tomorrow. Just completing this one and I just cannot understand how you know Pat paid 80,000 from her bank into the business. It seems key to answering this question correctly!:confused1:

It tells you in the 'DATA' section. It says '(b) Pat introduced capital of £80,000 during the year. This was debited to the bank account but no other entries were made'

So you need to do a journal for it. Hope this helps!