As of December 31, 2021, the books of TWO partnership showed capital balances of: Tim - P 40,000, Wina - P 25,000, and Oca - P 5,000. The partners' profit and loss ratio was 3:2:1, respectively. The partners decided to liquidate and they sold all non-cash assets for P 37,000. After settlement of all liabilities amounting to P 12,000, they still have cash of P 28,000 left for distribution. Assuming that any capital debit balance is uncollectible, the share of Tim in the distribution of P 28,000 cash would be:

As of December 31, 2021, the books of TWO partnership showed capital balances of: Tim - P 40,000, Wina - P 25,000, and Oca - P 5,000. The partners' profit and loss ratio was 3:2:1, respectively. The partners decided to liquidate and they sold all non-cash assets for P 37,000. After settlement of all liabilities amounting to P 12,000, they still have cash of P 28,000 left for distribution. Assuming that any capital debit balance is uncollectible, the share of Tim in the distribution of P 28,000 cash would be:

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter11: Investor Losses

Section: Chapter Questions

Problem 49P

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