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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Retirement of partnership
Hi Sir,
can you please explain how to solve this question
4 Morris, Sally and Bernard have been partners for many years sharing profits and losses
30:50:20 respectively. On 28 February 2015 Morris retired.
Tax adjusted profits for the years ended 30 June 2014 and 30 June 2015 were
£108,000 and £120,000 respectively.
Morris has unused overlap profits of £10,000.
What is the trading profit assessable on Morris for 2014/15?
A £46,400
B £24,000
C £24,000
D £56,400
thanks
You need to work through the lectures on partnerships in Chapter 8 – most notably the section on changes in partners. In addition by the dates on this example you are clearly using out of date material – you must use an Exam Kit / Revision Question Bank for FA 2019!