CONCEPT MAP

PARTNERSHIP FORMATION

Law on Partners’ Interest= Accounting for

Partnership Equity Method A Partnership

Elements Right over Right over Recognition and Cash Method- only
Attributes Assets Profits measurement of: if expressed#

Kinds of Partners’ Equity Actual Bonus Method

Partnerships contributions May be implied+

Kinds of Partner, Partner, Compliance Asset Rev/Impairment

Partners Capital Drawing with Agreed May be implied*
capital

Articles of Co Contributions Statement of Statement of

Partnership Cash, Partners’ Financial
Formation property(fair Equity Position
Operation value),
Dissolution liabilities
and Permanent
Drawings

Profit or Loss share #actual cont =/= agreed

Regular Drawings +Total cont = total agreed but partner’s
such as salaries Cont is =/= his agreed
*total cont =/= total agreed

*Goodwill approach is similar to asset rev/impair approach

 THIS IS WHAT SHOULD KEEP YOU GOING
POSITIVE ATTITUDE= DEPENDS ON YOUR OUTLOOK IN LIFE (YOUR LIFE)
THOMAS EDISION- 1,000 TIMES HE FAILED BEFORE HE WAS ABLE TO
INVENT THE INCANDESCENT LAMP.

PASSION OR DESIRE TO BECOME (DREAM BIG) THE SPARK THAT FUELS

THE FIRE WITHIN YOU (COMMITMENT) AND KEEPS YOU GOING. POWER
OF THE MIND (NOTHING IS IMPOSSIBLE, NOTHING IS UNREACHABLE)
CAREFUL: IF WHAT YOU ARE DOING DOES NOT MATCH YOUR SKILL, LIFE
BECOMES DIFFICULT
STUDY WITH A PURPOSE TO LEARN AND NOT JUST TO PASS THE
SUBJECT.

CONTRAST AS YOU MATURE YOU REALIZE MANY THINGS ARE NOT

ALWAYS WHAT YOU WANT IT TO BE
YOU HAVE TO EXPERIENCE: PAIN AND RELIEF (FEEL AMAZING)
SADNESS AND JOY
FAILURE AND SUCCESS
REALIZING THIS, YOU WILL BE ABLE TO EXPAND= DEVELOP
ABILITIES/SKILLS
MUSTER YOUR MOOD DON’T BE RULED BY EMOTIONS. (DISCIPLINE)
POWER OF THE HEAD TO RULE OVER YOUR HEART.
DON’T BE AFRAID OF THE CONTRAST COZ THAT IS HOW LIFE IS MEANT
TO BE

GREAT VISION LONG TERM PLANS , AND THESE MUST BE NOT SELF
SERVIING, THINK OF HOW YOU CAN SERVE OTHERS. EXAMPLE WALT
DISNEY

HUMILITY AND LOVE

ACKNOWLEDGE GOD YOUR CREATOR. HE IS IN CONTROL. HE KNOWS
WHAT IS BEST FOR US. IF YOU DEDICATE YOUR WORK TO HIM THE
BURDEN BECOMES LIGHTER.
BELIEVE, ASK, THANK GOD AND YOU WILL RECEIVE
SERVE WITH LOVE AND HUMILITY- YOUR LIFE SHOULD NOT REVOLVE
AROUND YOURSELF. REMEMBER GOD IS YOUR PARTNER, YOUR
CONSULTANT, YOUR SUPPORT.

THE SCHOOL IS A PLACE OF LEARNING, A PLACE OF JOY. TO LEARN

SOMETHING NEW IS FANTASTIC COZ EVERYTIME YOU LEARN
SOMETHING NEW YOU BECOME SOMETHING NEW.
LEARNING IS A BANQUET. WE INVITE YOU TO THE TABLE, YOU CHOOSE,
YOU PICK, YOU EAT. LEARNING IS INTERACTIVE.

KNOW YOURSELF, CONCENTRATE MORE ON YOUR STRENGTHS, IMPROVE

ON YOUR WEAKNESSES, UNDERSTAND WHAT YOU ARE DOING, LOVE
YOUR BOOKS AND YOUR WORK. LOVE YOURSELF. LOVE YOUR
TEACHERS.

I THANK YOU.
 CONCEPT MAP FOR CONSIGNMENT

CONSIGNMENT DEFINED,
ADVANTAGES/DIFFERENCES A. METHOD OF ACCOUNTING
FROM REGULAR SALES. CONSIGNMENT PROFIT DETERMINED SEPARATELY
CONSIGNEE” S VIEW CONSIGNOR’S VIEW
LAW ON BAILMENTS: CONSIGNMENT IN CONSIGNMENT OUT
OBLIGATIONS OF (REAL ACCOUNT) ( NOMINAL ACCOUNT)
CONSIGNEE/RIGHTS OF
CONSIGNOR
Receivable if a debit balance, If all consigned goods are sold, a credit
balance will represent profit.
Payable if a credit balance
If there are unsold goods, this account
should be a debit balance.

DEBIT CREDIT
TRANSACTIONS DEBIT CREDIT
a) SHIPMENTS EXPENSES SALES COST OF MDSE SALES
SHIPPED
b) EXPENSES PAID REMITTANCE EXPENSES RETURNS
c) SALES INCURRED
d) REMITTANCE WITH EXPENSES OF
ACCOUNT SALES CONSIGNEE
e) RETURNS

B. ANOTHER ACCOUNTING METHOD

CONSIGNMENT PRODIT NOT DETERMNED SEPARATELY

CONSIGNEE” S VIEW CONSIGNOR’S VIEW

Credit sales for sales made Record as a regular transaction using sales ,
Debit purchases for amount to be cost of sales and expenses accounts
remitted to consignor (sales less
commission and reimbursable
expenses).

OTHER TRANSACTIONS EFFECT ON CONSIGNEE EFFECT ON CONSIGNOR

UNSOLD STOCK NO ENTRY. CONSIGNMENT OUT A DEBIT

BALANCE
RETURNS MEMO ENTRY FIRST METHOD- CREDIT TO
CONSIGNMENT OUT.
 SECOND METHOD-NO ENTRY FOR
RETURNS. IT WILL FORM PART OF
ENDING INVENTORY.
ADVANCES MADE BY DEBIT (ASSET ACCOUNT) UPON CREDIT (LIABILITY ACCOUNT) UPON
CONSIGNEE PAYMENT. CREDIT UPON RECEIPT. DEBIT UPON REMITTANCE.
REMITTANCE.