A. 109,650B. 108,000C. 106,350D. 110,000 Larry, Marsha and Natalie are partners in a company that is being liquidated. They share profitsand losses 55 percent, 20 percent, and 25 percent, respectively. When the liquidation begins theyhave capital account balances of P108,000, P62,000, and P56,000 respectively. The partnershipjust sold equipment with a historical cost and accumulated depreciation of P25,000 and P18,000respectively for P10,000. What is the balance in Larry's capital account after the transaction iscompleted?

Solution : Given Capital balances: Partner Capital Profit sharing ratio Larry…

Answered: A. 109,650 B. 108,000 C. 106,350 D.…

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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A. 109,650 B. 108,000 C. 106,350 D. 110,000