28. As of December 31, 2020, the books of Abad, Sison and Dario Partnership showed capital balances of Abad - P80,000; Sison - P50,000 and Dario - P10,000. The partners' profit and loss ratio was 3:2:1, respectively. The partners decided to dissolve and liquidate. They sold all the non-cash assets for P74,000 cash. After settlement of all liabilities amounting to P34,000, they still have P56,000 cash left for distribution. How much is the loss on realization?
28. As of December 31, 2020, the books of Abad, Sison and Dario Partnership showed capital balances of Abad - P80,000; Sison - P50,000 and Dario - P10,000. The partners' profit and loss ratio was 3:2:1, respectively. The partners decided to dissolve and liquidate. They sold all the non-cash assets for P74,000 cash. After settlement of all liabilities amounting to P34,000, they still have P56,000 cash left for distribution. How much is the loss on realization?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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28. Show solution in good accounting form
![28. As of December 31, 2020, the books of Abad, Sison and Dario Partnership showed capital balances
of Abad - P80,000; Sison - P50,000 and Dario - P10,000. The partners' profit and loss ratio was 3:2:1,
respectively. The partners decided to dissolve and liquidate. They sold all the non-cash assets for
P74,000 cash. After settlement of all liabilities amounting to P34,000, they still have P56,000 cash left
for distribution. How much is the loss on realization?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F826d6f53-2e0e-48cc-863f-b1cf223fc27a%2Fcd54c996-aefd-4d42-91a2-e92c8beb8571%2F5xhf308_processed.jpeg&w=3840&q=75)
Transcribed Image Text:28. As of December 31, 2020, the books of Abad, Sison and Dario Partnership showed capital balances
of Abad - P80,000; Sison - P50,000 and Dario - P10,000. The partners' profit and loss ratio was 3:2:1,
respectively. The partners decided to dissolve and liquidate. They sold all the non-cash assets for
P74,000 cash. After settlement of all liabilities amounting to P34,000, they still have P56,000 cash left
for distribution. How much is the loss on realization?
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