. A and B share equally in partnership profits and losses. During the year, A's capital account has a net increase of P50,000. Partner A made contributions of P10,000 and capital withdrawals of P60,000 during the year. How much was the partnership profit for the year? a. 180,000 b. 200,000 c. 210,000 d. 480,000

. A and B share equally in partnership profits and losses. During the year, A's capital account has a net increase of P50,000. Partner A made contributions of P10,000 and capital withdrawals of P60,000 during the year. How much was the partnership profit for the year? a. 180,000 b. 200,000 c. 210,000 d. 480,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter15: Partnership Accounting

Section: Chapter Questions

Problem 1PA: The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after...

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The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after Tatum receives a 10,000 salary and Brook receives a 15,000 salary. Prepare a schedule showing how the profit and loss should be divided, assuming the profit or loss for the year is: A. $40,000 B. $25,000 C. ($5,000) In addition, show the resulting entries to each partners capital account. Tatums capital account balance is $50,000 and Brooks is $60,000.
and B formed a partnership. The partnership agreement stipulates the following:
10. A has a 25% participation in the profits of a partnership. During the year, A's capital account had a net increase of P20,000. A made contributions of P80,000 and capital withdrawals of P120,000 during the year. How much profit did the partnership earned during the year? а. 60,000 b. 80,000 с. 120,000 d. 240,000
18. Partner Quito had a beginning capital balance of P35,000 and made additional investments of P27,000 during the year. In the same year, Quito made drawings of P5,000 per month. The post-closing capital balance of Quito is P72,000. What is his share in the partnership profit? a. P70,000 b. P15,000 C. P60,000 d. P72,000
For the year 2021, the partnership of AMMAR and BANU realized a net profit of P240,000. The capital accounts of the partners show the following postings: Jan. 1 May 1 July 1 Aug. 1 Oct. 1 AMMAR Debit Credit Debit Credit 20,000 10,000 120,000 BANU 10,000 10,000 5,000 80,000 20,000 Question 5 If the profits are to be divided based on average capital, how much will be the share of AMMAR?
8. The X & Y Partnership earned P500,000 this year. The partners have equal capital balances, and share profit and losses 1:3. Partner Y will share in the partnership profit of how much. *
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After a year of operations, the partnership of Deborah, Emilda and Fe generated income amounting to P 150,000. The capital balance of Deborah is P 50,000 while Emilda and Fe each have a capital balance of P 75,000. The partners share profits based on capital ratio. How much is the share of Deborah in the income of the partnership? A. P 75,000 B. P 56,250 C. P 37,500 D. P 60,000
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The AA Tours Partnership earned P500,000 this year. The partners have equal capital balances, and share profits and losses 1:3. The partners will show share in partnership profit ofa. P250,000 eachb. P250,000 and P750,000, respectivelyc. P125,000 and P375,000, respectivelyd. P500,000 each
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