Commencement of business
1. What date did business commence?
2. Work out how much it will cost to commence business.
3. The capital to start business must come from the partners. Work out how much each partner is contributing (REALISTIC NUMBERS, REMEMBER IT'S A JUICE BAR BUSINESS). Write the details of each partner's contribution in narrative form. At least one of the partners must have contributed more than just cash. If other assets are introduced, they must be realistic. Explain where they came from if necessary.
2. Prepare general journal entries to account for the capital contributed by the partners. Include narrations.
3. Prepare a statement of financial position on the day of formation.