A, B and C partnership shows the following profit and loss ratios and capital balances: A 60% 300,000 B 30% 120,000 C 10% 50,000 The partners decided to sell D 20% of their respective capital and profit and loss interests for a total payment of 90,000. D will pay directly to the partners. If the partners agreed to revalue the assets prior to the admission of D, what is the capital balance of B after D's admission?
A, B and C partnership shows the following profit and loss ratios and capital balances: A 60% 300,000 B 30% 120,000 C 10% 50,000 The partners decided to sell D 20% of their respective capital and profit and loss interests for a total payment of 90,000. D will pay directly to the partners. If the partners agreed to revalue the assets prior to the admission of D, what is the capital balance of B after D's admission?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
16.
A, B and C
|
A |
60% |
300,000 |
|
B |
30% |
120,000 |
|
C |
10% |
50,000 |
The partners decided to sell D 20% of their respective capital and profit and loss interests for a total payment of 90,000. D will pay directly to the partners. If the partners agreed to revalue the assets prior to the admission of D, what is the capital balance of B after D's admission?
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