Multiple Choice -1. Jacob and Joseph agreed to accept Joshua into the partnership by investingrespectively. They share profits and losses in a ratio of 2 : 3.Jacob and Joseph are partners with capital balances of P1,500,000 and P2,400,000P1,000,000 cash for a one-fifth interest in the par tnership. Joshua's capitalare partners with capital balances of P1,500,000 and P2,400.000balance will bea. P1,000,000b. P 900,000с. Р 800,000d. P 700,000e. Not given, Jacob and Joseph agreed to accept Joshua into the partnership by investingP1 000,000 cash for a one-fifth interest in the partnership. Jacob's capitalbalance will bea. P2,400,000b. P2,000,000c. P1,600,000d. P1,000,000e. Not given3. Jacob and JosephP1,000,000 cash for a one-fourth interest in t he partnership. Joshua's capitabalance will beagreed to accept Joshua ir ito the partnership by investinga. P2,250,000b. P2,000,000c. P1,500,000d. P1,250,000e. Not given share of profits and losses i n exchange for a cash contribution. No bonus is to be4. Jacob and Joseph agreed to accept Joshua into the partnership by iowewiAfer thbalance will beof profa. P2,250,000b. P2,000,000c. PI,500,000d. P1,250,000e. Not given9 JusticapaTheircaptainterecorded and presented at their i espective fair values.recorded How much cash should Justin contribute?a. P350,000b. P300,000с. Р250,000d. P200,000e. Not given10 J6. Justin is to be admitted & is a new partner with a 20% capital interest and a 7share of profits and losse s in exchange for a cash contribution. No bonus is sorecorded. How much ca sh should Justin contribute?a. Р200,000b. P187,500c. PI78,500d. P287,500e. Not given7. After the admission of Justin as a new partner with a 20% interest and 20% Saof profits, what is the percentage share of Jasper in the profits and losses!a. 54.3 %b. 53.3%c. 27.6%d. 20.0%e. Not given

4. Jacob and Joseph agreed to a ccept Joshua into the partnership by inves P1,000,000 cash for a one forurth interest in the partnership. Joseph's balance will be a. P2,250,000 b. P2,000,000 c. PI,500,000 d. P1,250,000 e. Not given Jasper and Jethro are partners 'who share profits and losses 2: 1. Their e balances are P500,000 and P2 50,000 respectively. The assets and liabilitiesa recorded and presented at their 1 espective fair values. 5. Justin is to be admitted as a new partner with a 25% capital interest and a 259 share of profits and losses i n exchange for a cash contribution. No bonus is to be recorded How much cash should Justin contribute? a. P350,000 b. P300,000 c. P250,000 d. P200,000 e. Not given

4. Jacob and Joseph agreed to a ccept Joshua into the partnership by inves P1,000,000 cash for a one forurth interest in the partnership. Joseph's balance will be a. P2,250,000 b. P2,000,000 c. PI,500,000 d. P1,250,000 e. Not given Jasper and Jethro are partners 'who share profits and losses 2: 1. Their e balances are P500,000 and P2 50,000 respectively. The assets and liabilitiesa recorded and presented at their 1 espective fair values. 5. Justin is to be admitted as a new partner with a 25% capital interest and a 259 share of profits and losses i n exchange for a cash contribution. No bonus is to be recorded How much cash should Justin contribute? a. P350,000 b. P300,000 c. P250,000 d. P200,000 e. Not given

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

D1.
5 )
Assuming the partnership will use a new set of books, prepare the necessary journal entries to record the investment of each partner. 1 4. Gary and Gardo are combining their separate business to form a partnership. Cash and non- cash assets are to be contributed for a total capital of P600,000. The non-cash assets to be contributed and the liabilities to be assumed are as follows: Gardo BV Gary BV P 40,000 60,000 120,000 30,000 FMV P 30,000 90,000 100,000 30,000 FMV Accounts receivable Merchandise inventory Equipment Accounts Payable P 40,000 80,000 20,000 P 80,000 120,000 20,000 Assuming the partners' capital accounts are to be equal after all the contribution of assets and the assumption of liabilities, determine the amount of cash to be contributed by Gary. Using the same information, determine the total assets of the partnership. Using the same information and assuming the excess capital credit over the fair value of the net assets transferred to the partnership is recognized as…
4.1 Mimi and Gigi are partners sharing profits and losses in the ratio of 2:3 with capitals of 9,000 and 15,000, respectively. Lulu is to be admitted into the partnership after which they will share profits and losses equally. The books of the old partnership will still be use by the new partnership. REQUIRED: Give the entry to record the admission of Lulu under each of the following independent assumptions. Show also the comparative capital structure and interest of each partner in relation to the total capital before and after the admission of Lulu. a. Lulu buys 1/4 the interest of Mimi for 3,000. b. Lulu buys 1/5 the interest of Gigi for 2,000. c. Lulu buys 1/2 the interest of Mimi for 5,000 and 1/4 the interest of Gigi for 6,000.
TRUE OR FALSE
2) After the realization of non-cash assets, the following account balances appeared in the genera ledger of the partnership of See, Chap, and Pooh. Cash P 10,000 Liabilities 30,000 Pooh,Loan 5,000 See,Capital 15,000 Chap,Capital 10,000 Pooh,Capital 10,000 Profits are shared 2:4:4 for See, Chapand Pooh, respectively. Pooh is insolvent. Q3. How much additional investment did Chap make? a. 10,000 b. 14,000 c. 15,000 d. 20,000
DO not give solution in image
Arif and Basheer are partners sharing profits and losses in the ratio of 7 and 5. They admit partner Rafiq into partnership for 1/6th share in profit which he acquired 1/24 from Arif and 3/24 from Basheer. So, the new profit sharing ratio will be O a. 13 :7:4 O b. 14 :6:4 O c. 16:4:4 O d. 4:4:12
Could you please help me with 3 and 4. Thank you so much
Please help me
Jacob and Joseph are partners with capital balances of P1,600,000 and P2,400,000 respectively. They share profits and losses in a ratio of 2 : 3. Jacob and Joseph agreed to accept Joshua into the partnership by investing P1,000,000 cash for a one-fifth interest in the partnership. Joshua's capital balance will be 1. P1,000,000 P 900,000 'P 800,000 P 700,000 Not given 2. Jacob and Joseph agreed to accept Joshua into the partnership by investing P1,000,000 cash for a one-fifth interest in the partnership. Jacob's capital balance will be P2,400,000 P2,000,000 P1,600,000 P1,000,000 Not given 3. Jacob and Joseph agreed to accept Joshua into the partnership by investing P1,000,000 cash for a one-fourth interest in the partnership. Joshua's capital balance will be P2,250,000 P2,000,000 P1,500,000 P1,250,000 Not given