After the formation of RGM Partnership on July 4, 2023, the balances in the general ledger accounts reflect the following balances: Debit Credit Cash P 205,000 Accounts Receivable 95,000 Allowance for Doubtful Accounts P 10,000 Office Supplies 12,000 Office Equipment 320,000 Furniture and Fixture 140,000 Rosario, Capital 320,000 Guadalupe, Capital 225,000 Maria, Capital 217,000 Total P 772,000 P 772,000 Rosario invested the office equipment, Guadalupe invested accounts receivable and Furniture and Fixtures, and Maria invested cash and office supplies. Compute the total assets of the partnership upon formation.

After the formation of RGM Partnership on July 4, 2023, the balances in the general ledger accounts reflect the following balances: Debit Credit Cash P 205,000 Accounts Receivable 95,000 Allowance for Doubtful Accounts P 10,000 Office Supplies 12,000 Office Equipment 320,000 Furniture and Fixture 140,000 Rosario, Capital 320,000 Guadalupe, Capital 225,000 Maria, Capital 217,000 Total P 772,000 P 772,000 Rosario invested the office equipment, Guadalupe invested accounts receivable and Furniture and Fixtures, and Maria invested cash and office supplies. Compute the total assets of the partnership upon formation.

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

help me answer this please
The condensed Balance Sheet of the XY partnership on December 31, 2024, appears below. $ 60,000 $ 60,000 200,000 90,000 110,000 $260.000 Cash Other Assets Total Assets Liabilities X, Capital Y, Capital Total Liabilities and Capital $260.000 X and Y share profits and losses in the ratio 40:60. Each of the following questions is independent of the others. Prepare journal entries for each of the following: Show all computations. a. Refer to the above information. Assume that Z purchases a one-fourth of Y's capital interest directly from Y for a total of $60,000. (Direct purchase) Compute each partner's balance after Z is admitted. b. Refer to the above information. Assume Z invests $60,000 cash into the XY partnership for a one-fourth interest in partnership capital and profits. (Bonus method) Compute each partner's balance after Z is admitted.
A and B decided to form a partnership on January I, 2021. Their Statements ofFinancial Position on this date were: A B Cash 62,625 164,063 Accounts Receivable 1,487,500 896,875 Merchandise Inventory 875,000 885,938 Equipment 656,250 1,268,750 Total 3,084,375 3,215,625 A B Accounts payable 459,375 1,159,375 A, Capital 2,625,000 B, Capital 2,056,250 Total 3,084,375 3,215,625 They agreed the following adjustments shall be made:- Equipment of A is under depreciated by P87,500 and that B is over depreciated byP131,250.- Allowance for doubtful accounts is to be set up amounting to P297,500 for A andP196,875 for B.- Inventories of P21, 875 and P15,312 are worthless in the books of A and Brespectively.- The partnership agreement provides for a profit and loss ratio of 70% to A and 30%to B Compute for the total assets of the partnership
Washington and Jacobs formed a partnership on March 15, 2018. The partners agreed to contribute equal amounts of capital. Washington contributed her sole proprietorship’s assets and liabilities (credit balances in parentheses) as follows: Washington’s Business Book Value Current Market Value Accounts Receivable $ 12,200 $ 10,500 Merchandise Inventory 42,000 35,000 Prepaid Expenses 3,500 2,800 Store Equipment, Net 42,000 23,000 Accounts Payable (26,000) (26,000) On March 15, Jacobs contributed cash in an amount equal to the current market value of Washington’s partnership capital. The partners decided that Washington will earn 60% of partnership profits because she will manage the business. Jacobs agreed to accept 40% of the profits. During the period ended December 31, the partnership earned net income of $72,000. Washington’s withdrawals were $36,000, and Jacobs’s withdrawals totaled $26,000. Requirements Journalize the…
On June 1, 20x10, HEAD and ACHE decided to form a partnership contributing their existing businesses. The following is taken form their trial balance: HEAD ACHE Cash 250,000 150,000 100,000 80,000 Receivables (net) Inventory 125,000 150,000 500,000 400,000 Fixed Assets (net) Liabilities 250,000 250,000 The partners agreed on the following: 1. P50,000 of HEAD'S cash represents converted foreign currencies amounting to FC1,000 on December 31, 20x9. The current spot rate of FC1 is equivalent to P53. 2. The receivables of HEAD and ACHE, currently have a net realizable value of 80% it is agreed that their net realizable value must be adjusted to 75%. HEAD's inventory has a NRV of P140,000 and could be currently sold for P200,000. 3. HEAD's machine was purchased last year with a 5-year life. It's estimated current value is 90% of its cost. 5. ACHE's fixed asset has an 80% condition percentage. If bought brand new, its price would be P550,000. 6. The partners are to share in profits and…
The following account balances were taken from the books of Aztra, a sole proprietor before admitting Nica to form a partnership. Accounts Receivable Php 50,000 Allowance for bad debts 1,000 Equipment 60,000 Accum. Depreciation – Equipment 20,000 Notes Payable 30,000 Aztra, Capital 59,000 Aztra admits Nica as a partner in the partnership with a total agreed capitalization of Php 200,000. Nica contributes cash that will give her 50% claim in the partnership. Aztra is to invest additional cash after the partnership’s assets and liabilities are to be adjusted…
Bacalso and tenajeros have respective partnership capital balances of 48,000 and 24,000 on Jan 1.Bacalso withdrew 6,000 on May 1 and 6,000 on July 1. Tenejeros invested an additional 12,000 onApril 1 and withdrew 8,000 on Oct. 1. The average caital balances for Bacalso and Tenajeros for theyear areA. 36,000; 28,000B. 41,000; 31,000C. 42,000; 26,000 D. 48,000; 24,000
The statement of financial position of A,B,C partnership as of December 31, 2020 is presented below: CASH P20,000 LIABILITIES 50,000 OTHER ASSETS 280,000 A, LOAN 25,000 A, CAPITAL 125,000 B, CAPITAL 70,000 C, CAPITAL 30,000 TOTAL 300,00 TOTAL 300,000 Profit and loss ratio is 3:2:1 for A, B and C respectively. Other assets were realized as follows: DATE CASH RECEIVED BOOK VALUE JAN 2020 60,000 90,000 FEB 2020 35,000 77,000 MAR 20220 125,000 113,000 Liquidation expenses paid are as follows: January - P500 February - P700 Cash is distributed as assets are realized, how much is the total cash received by partner A?
2.) XY Partnership had the following balances as of the year ended December 31, 2019. Description Partner X Partner Y 10,000 8,000 Beginning Capital Withdrawals 2,000 1,500 Additional Investments 1,200 3,000 Division of Profit/Loss 60% 40% Net income of the Partnership amounted to Php 4,000. Required: Provide a statement of Changes in Partner's Equity with complete parts 3.) xyCorporation had the following balances as of the year ended December 31, 2019. Beginning Shareholder's Equity -- Php 20,000 Share Issuances (Additional Investment) -- Php 25,000 Dividends declared (Distribution of Income) - Php 10,000 Net Income Year 2019 - Php 15,000 Required: Provide a Statement of Changes in Shareholder's Equity with complete parts
A and B decided to form a partnership on January I, 2021. Their Statements ofFinancial Position on this date were: A B Cash 62,625 164,063 Accounts Receivable 1,487,500 896,875 Merchandise Inventory 875,000 885,938 Equipment 656,250 1,268,750 Total 3,084,375 3,215,625 A B Accounts payable 459,375 1,159,375 A, Capital 2,625,000 B, Capital 2,056,250 Total 3,084,375 3,215,625 They agreed the following adjustments shall be made:- Equipment of A is under depreciated by P87,500 and that B is over depreciated byP131,250.- Allowance for doubtful accounts is to be set up amounting to P297,500 for A andP196,875 for B.- Inventories of P21, 875 and P15,312 are worthless in the books of A and Brespectively.- The partnership agreement provides for a profit and loss ratio of 70% to A and 30%to B Upon the formation of the partnership, how much is the capital of A and B,respectively?
C. The partnership accounts of Guess, Jag and Levis are shown below as of December 31, 2019. Profits and losses are shared 50%; 30%; and 20%, respectively. Guess, Drawing (debit balance) P (32,000) Levis, Drawing (debit balance) (12,000) Jag, Loan 40,000 Guess, Capital 164,000 Jag, Capital 134,000 Levis, Capital 144,000 Total assets amounted to P 638,000, including cash of P 70,000, and P 200,000 worth of liabilities. On January 2019, the partnership was liquidated, and Jag received P 111,000 cash as final settlement. Required: 1. The total loss from the liquidation of the partnership 2. Prepare the statement of liquidation. 3. Journal entries to record the liquidation.
If the total cash available for distribution to the partners as settlement of their claims in the partnership was P278,000, for how much were the non-cash assets sold?