40,000.00 40,000.00 Accounts Receivable-net 200,000.00 200,000.00 Inventories 100,000.00 400,000.00 Plant Assets - Net 200,000.00 240,000.00 P 540,000.00 880,000.00 Equities Accounts Payable P 100,000.00 P 100,000.00 240,000.00 Martin, Capital (50%) Bossworth, Capital (50%) 200,000.00 540.000.00 The partnership of Martin and Bosworth is being dissolved, and the assets and equities at book value and fair value and profit and loss sharing ratios at January 1, 2021 are as follows: Martin and Bosworth agree to admit Trent into the partnership for one-third interest. Trent invests P190,000 cash and a building to be used in the business with a book value to Trent of P200,000 and a fair value of P220,000. Assuming that the assets are to be revalued, how much capital should be credited to Trent?

40,000.00 40,000.00 Accounts Receivable-net 200,000.00 200,000.00 Inventories 100,000.00 400,000.00 Plant Assets - Net 200,000.00 240,000.00 P 540,000.00 880,000.00 Equities Accounts Payable P 100,000.00 P 100,000.00 240,000.00 Martin, Capital (50%) Bossworth, Capital (50%) 200,000.00 540.000.00 The partnership of Martin and Bosworth is being dissolved, and the assets and equities at book value and fair value and profit and loss sharing ratios at January 1, 2021 are as follows: Martin and Bosworth agree to admit Trent into the partnership for one-third interest. Trent invests P190,000 cash and a building to be used in the business with a book value to Trent of P200,000 and a fair value of P220,000. Assuming that the assets are to be revalued, how much capital should be credited to Trent?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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