ABC contributed P48,000 and DEF contributed P96,000 to form a partnership and they agreed to share profits in the ratio of their original capital contributions. During the first year of operations, they made a profit of P32,580, ABC withdrew P10,100 and DEF P16,000. At the start of the following year, they agreed to admit GHI into the partnership. He was to receive a one-fourth interest in the capital and profits upon payment of P60,000 to ABC and DEF, how much should ABC received from GHI?

ABC contributed P48,000 and DEF contributed P96,000 to form a partnership and they agreed to share profits in the ratio of their original capital contributions. During the first year of operations, they made a profit of P32,580, ABC withdrew P10,100 and DEF P16,000. At the start of the following year, they agreed to admit GHI into the partnership. He was to receive a one-fourth interest in the capital and profits upon payment of P60,000 to ABC and DEF, how much should ABC received from GHI?

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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