1. A and B formed a partnership. The following are their contributions:                                    A                                  B Cash                      500,000 Accounts receivable100,000 Building                                                    700,000 Total                        600,000                    700,000   A, capital    600,000 B, capital                                    700,000   Total          600,000                    700,000   Additional information: The accounts receivable includes a ₱20,000 account that is deemed uncollectible. The building is over depreciated by ₱50,000 The building has an unpaid mortgage ₱100,000, which is assumed by the partnership.   Requirement: Provide the journal entry to record the contributions of the partners in the partnership books.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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1.
A and B formed a partnership. The following are their contributions:
                                   A                                  B
Cash                      500,000
Accounts receivable100,000
Building                                                    700,000
Total                        600,000                    700,000
 
A, capital    600,000
B, capital                                    700,000
 
Total          600,000                    700,000
 
Additional information:
The accounts receivable includes a ₱20,000 account that is deemed uncollectible.
The building is over depreciated by ₱50,000
The building has an unpaid mortgage ₱100,000, which is assumed by the partnership.
 
Requirement:
Provide the journal entry to
record the contributions of the partners in the
partnership books.
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