Assets Liabilities and Capital P 120,000 1,800,000 Cash Liabilities 350,000 150,000 P Noncash assets Loan payable to AAA AАА, Саpital (50%) ВВВ, Саpital (30%) ССС, Сарital (20%) 450,000 700,000 270,000 P1,920,000 Total P1,920,000 Total
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
38. ABC
(in the picture)
Assuming assets with a book value of P700,000 were sold for P500,000 and that all available cash was distributed.
For what amount would the remaining assets have to be sold in order for Partner BBB to receive a total of P790,000 cash after liquidation.
A. P1,550,000
B. P1,600,000
C. P1,500,000
D. P1,650,000
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