Kindly answer the problem below. Problem #20Withdrawal of a PartnerOn July 10, 2018, Partner Ibrahim decided to withdraw from the Cebedo, Basa andIbrahim Partnership. Their profit and loss ratio is 3:2:1, respectively. Partnership assetsare to be used to acquire Ibrahim's partnership interest. The statement of financialposition for the partnership on that date follows:Cebedo, Basa and IbrahimStatement of Financial PositionJuly 10, 2018AssetsLiabilities and Partners' CapitalP 45,000120,00060,000CashP 74,000LiabilitiesTrade Accounts Receivable (net)Plant Assets (net)Goodwill.(net)Cebedo, CapitalBasa, CapitalIbrahim, Capital36,000135,00030,00050,000P275,000TotalP275,000TotalRequired:Prepare the journal entries to record Ibrahim's withdrawal under each of the followingassumptions:1. Ibrahim is paid P54,000, and the excess amount paid over Ibrahim's capital accountbalance is recorded as a bonus to Ibrahim from Cebedo and Basa.2. Ibrahim is paid P45,000, and the difference is recorded as a bonus to Cebedo andBasa from Ibrahim.3. lbrahim accepted cash of P40,500 and plant assets (equipment) with a current fairvalue of P9,000. The equipment had cost P30,000 and was 60% depreciated, withno residual value (Record any gain or loss on the disposal of the equipment in thepartners' capital accounts).

When a partner withdraws from the business of the entity or when any partner take admission in…

1. Ibrahim is paid P54,000, and the excess amount paid over Ibrahim's capital account balance is recorded as a bonus to Ibrahim from Cebedo and Basa. 2. Ibrahim is paid P45,000, and the difference is recorded as a bonus to Cebedo and Basa from Ibrahim. 3. Ibrahim accepted cash of P40,500 and plant assets (equipment) with a current fair value of P9,000. The equipment had cost P30,000 and was 60% depreciated, with no residual value (Record any gain or loss on the disposal of the equipment in the partners' capital accounts).

1. Ibrahim is paid P54,000, and the excess amount paid over Ibrahim's capital account balance is recorded as a bonus to Ibrahim from Cebedo and Basa. 2. Ibrahim is paid P45,000, and the difference is recorded as a bonus to Cebedo and Basa from Ibrahim. 3. Ibrahim accepted cash of P40,500 and plant assets (equipment) with a current fair value of P9,000. The equipment had cost P30,000 and was 60% depreciated, with no residual value (Record any gain or loss on the disposal of the equipment in the partners' capital accounts).

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter11: Partnerships: Distributions, Transfer Of Interests, And Terminations

Section: Chapter Questions

Problem 47P

See similar textbooks

Similar questions

On February 3, 2016 Sam Singh invested $90,000 cash for a 1/3 interest in a newly formed partnership. Prepare the journal entry to record the transaction.
Problem #5 Withdrawal of a Partner On July 10, 2019, Partner Ibrahim decided to withdraw from Cebedo, Basa, and Ibrahim Partnership. Their profit and loss ratio is 3:2:1, respectively. Partnership assets are to be used to acquire Ibrahim’s partnership interest. The statement of financial position for the partnership on that date follows: Cebedo, Basa and Ibrahim Statement of Financial Position July 10, 2019 AssetsCash - P 74,000Trade Accounts Receivable (net)- 36,000Plants Assets (net)- 135,000Goodwill (net)- 30,000Total Assets- P275,000Liabilities and Partners' CapitalLiabilities-P 45,000Cebedo, Capital- 120,000Basa, Capital- 60,000Ibrahim, Capital- 50,000Total Liabilities and Partners' Capital-P275,000 Required: Prepare the journal entries to record Ibrahim’s withdrawal under each of the following assumptions: Ibrahim is paid P54,000, and the excess amount paid over Ibrahim’s capital account balance is recorded as a bonus to Ibrahim from Cebedo and Basa. Ibrahim is paid…
Problem #5 Withdrawal of a Partner On July 10, 2019, Partner Ibrahim decided to withdraw from Cebedo, Basa and Ibrahim Partnership. Their profit and loss ratio is 3:2:1, respectively. Partnership assets are to be used to acquire Ibrahim's partnership interest. The statement of financial position for the partnership on that date follows: Cebedo, Basa and Ibrahim Statement of Financial Position July 10, 2019 Assets Cash Trade Accounts Receivable (net) Plants Assets (net) Goodwill (net) Total P 74,000 36,000 135,000 30,000 P275,000 Liabilities and Partner's Capital Liabilities Cebedo, Capital Basa, Capital Ibrahim, Capital Total P 45,000 120,000 60,000 50,000 P275,000 Required: Prepare the journal entries to record Ibrahim's withdrawal under each of the following assumptions: 1. Ibrahim is paid P54,000, and the excess amount paid over Ibrahim's capital account balance is recorded as a bonus to Ibrahim from Cebedo and Basa. 2. Ibrahim is paid P45,000, and the difference is recorded as a…
Withdrawal of a Partner On July 10, 2019, Partner Ibrahim decided to withdraw from Cebedo, Basa and Ibrahim Partnership. Their profit and loss ratio is 3:2:1, respectively. Partnership assets are to be used to acquire Ibrahim’s partnership interest. The statement of financial position for the partnership on that date follows: Cebedo, Basa and Ibrahim Statement of Financial Position July 10, 2019 Assets Liabilities and Partner’s Capital Cash P 74,000 Liabilities P 45,000 Trade Accounts Receivable (net) 36,000 Cebedo, Capital 120,000 Plants Assets (net) 135,000 Basa, Capital…
SCO PROFESSOR: NAME: SECTION: Problem #20 Withdrawal of a Partner position for the partnership on that date follows: Cebedo, Basa and Ibrahim Statement of Financial Position July 10, 2019 Liabilities and Partners' Capital 骨 Assets P 74,000 36,000 135,000 30,000 P275,000 Liabilities P 45,000 120,000 Cash Trade Accounts Receivable (net) Plant Assets (net) Goodwill (net) Cebedo, Capital Basa, Capital Ibrahim, Capital 60,000 50,000 P275,000 Total Total Required: Prepare the journal entries to record Ibrahim's withdrawal under each of the following assumptions: 1. Ibrahim is paid P54,000, and the excess amount paid over Ibrahim's capital account balance is recorded as a bonus to Ibrahim from Cebedo and Basa. 2. Ibrahim is paid P45,000, and the difference is recorded as a bonus to Cebedo and Basa from Ibrahim. * 1oranim accepted cash of P40,500 and plant assets (equipment) with a current fair value of P9,000. The equipment had cost P30.000 and was 60% depreciated, with sidual value (Record…
THE FINAL ACCOUNTS OF PARTNERSHIP QUESTION 1 Kendrick and Kendra are in partnership sharing profits and losses in the ratio 3:2, respectively. The following is their trial balance as at 31s' December, 2020. Debit Credit GH¢ GH¢ 100,000 Freehold premises cost (1/1/2020) Leasehold premises cost (1/1/2020) Fixtures at cost (1/1/2020) Provision for depreciation: Fixtures 60,000 8,200 4,200 Trade Receivables 61,400 Trade Payables 26,590 Cash at bank 6,130 Inventories at (1/1/2020) 62,740 Sales 363,111 Purchases 210,000 Carriage outwards 3,410 Discounts allowed 620 Loan interest: Prince 3,900 Office expenses Salaries and wages 4,760 57,809 Bad debts 1,632 Provision for doubtful debts 1,400 Loan from Natasha 65,000 Capitals: Kendrick 100,000 Kendra 75,000 Current accounts: Kendrick 4,100 Kendra 1,200 Drawings: Kendrick 31,800 Kendra 28,200 640,601 640,601 Additional information: 1) Inventory on 31st December, 2020 was valued at GH¢74,210. 2) Expenses to be accrued: Office Expenses GH¢215;…
Problem 2: Statement of Changes in Equity - Partnership The following are taken from the accounting records of JFK Partnership. December 31, 2020 December 31, 2021 James, Capital P54,900 P64,900 Christine, Capital 53,200 63,900 Lolly, Capital 44,890 50,890 The partnership generated net income of P51,600 in 2020. According to the partnership contract, James, Christine and Lolly share profit and loss equally. The partnership contract allows each partner to withdraw P1,000 monthly. James and Christine each contributed P5,000 during the year. Loll did not make any contributions during the year. Required: 1. Prepare the partnership's Statement of Changes in Equity. 2. Determine if any of the partners violated the partnership contract provision on Drawings. Identify who among the partners it is.
QUESTION 1 Mweemba and Phiri are in partnership sharing profits and losses in the ratio 7:3 respectively. The following information has been taken from the partnership records for the year ended 31 May 2020. Partners' capital account Mweemba k200,000 Phiri k140,000 Partners' current accounts, balances as at 1 June 2019: Mweemba K15, 000 Cr Phiri K13, 000 Cr During the year ended 31 May 2020 the partners made the following withdrawals from the partnership bank account. Mweemba Phiri k10, 000 on 31 August 2019 K10, 000 on 30 November 2019 K10, 000 on 28 February 2020 K10, 000 on 31 May 2020 k7, 000 on 31 August 2019 K7,000 on 30 November 2019 K7,000 on 28 February 2020 K7,000 on 31 May 2020 Interest is to be charged on withdrawals at the rate of 12% per annum. Interest is allowed on capital accounts and credit balances on current accounts at the rate of 12% per annum. Phiri is to be allowed a salary of k15, 000 per annum. The Net profit of the partnership for the year ended 31 May 2020…
Sagot din po dito?
C1
TRUE OR FALSE
Please do not give solution in image format thanku