Today we want to talk about joint ventures, continuing the previous discussions that were posted on the channel
Well, we want to discuss about the liquidation of joint ventures
What does liquidation mean?
Liquidation of the company means that the company no longer wants to continue its work for several reasons
Well, what could be the reasons?
It could be the death of one of the partners
It is possible for the partners to agree not to continue
It can be a loss for the company
It is possible that the goal that the company created has ended
And 000 other reasons
Well, what do you do to liquidate the company??
They choose a liquidator who may be from inside the company or outside the company to complete the liquidation
We have several methods of purification:
1_ Instant method
2_ Gradual method
and 00000
We want to discuss about instant liquidation:
Immediate liquidation means trying to dissolve and liquidate the company in a short period of time
This instant method itself has several methods:
One is to use the settlement account
One is the use of the profit and loss of the liquidation
and 000
Now, in this part, we want to talk about the method of using the settlement account:
An account will be opened in the office under the name of Tafari
We will send the whole thing to this, of course, to the cash booklet
Then the asset is evaluated, how much it has been sold or transferred or whatever. 000
The following steps are taken for purification:
1_ liquidation of the debtor (total assets)
Creditor assets
For closing the assets to the liquidation account
2- Sale or assignment of assets
Cash/debtor capital
Liquidation of the creditor
3_ Clearing account balance:
The balance may be in debt (loss).
The capital of the debtor partners
Liquidation of the creditor
The balance may be a creditor:
Liquidation of the debtor
capital of creditor partners
Let’s take an example together:
The balance sheet of Al-Web Co., Ltd. is as follows and the shareholders are equal:
1,000,000 cash
Accounts receivable 600,000
Inventory 700,000
400,000 building
000 0000000000000
Balance 2700,000
Accounts Payable 700,000
A’s capital is 1,000,000
Capital B, 1,000,000
00000000000000
Balance 2700,000
The partners proceeded to liquidate the company as follows:
Account receivable was collected
Inventory 600,000 was sold
The building was sold for 700,000
The company’s debts were paid
The liquidation costs amounting to 50,000 which the company paid
Calculations:
Records of liquidation of the company by liquidation method
Well, let’s solve it:
The first thing that happens is that we take all assets to the liquidation account except cash
Good
Settlement of debtors 1700000
Account receivable 600,000
Inventory 700,000
400,000 building
(Closing the assets for liquidation)
second stage:
Sale and transfer of assets
The first one said that the account receivable has been received
Registration:
Cash 600,000
Refinement 600,000
Second, the stock of goods sold has arrived:
Cash 600,000
Refinement 600,000
A third said that the building has been sold:
Cash 700,000
Refinement 700,000
Fourth, debts have been paid:
Accounts Payable 700,000
Cash 700,000
Fifth payment of the cleaning fee:
The cost of treatment is 50,000
Cash 50,000
third level:
settlement account balance;
600,000 + 600,000 + 700,000 = 1900,000
1700,000+50,000=1750,000
remaining
1900,000_1750,000=150,000
The share of each
150,000 x 1/2 = 75,000
Closing the settlement account:
Refinement 150,000
A’s capital is 75,000
Capital B75000
Part of the liquidation of the partnership company
Kari from Moztaz accounting channel group
@hesabdarimomtaz
#Solidarity company
This post is written by Huryyy00