Bing and Bingo decided to dissolve and liquidate the partnership on June 16, 2020. On that date, the following account balances are as follows: ASSETS LIABILITIES AND EQUITY Cash P15,000 Accounts Payable P170.000 Other Assets 320,000 Loan. Bing 30.000 Advances to Bingo 35.000 Bing, Capital 60.000 Bingn, Capital 110000 Total Assets P370,000 Total Liabilities and Equity P370,000 On July 1, non-cash assets with a book value of P190,000 were sold at P165,000, and paid liquidation expenses, P6,000. On July 23, the remaining non-cash assets were sold at P80,000, and all available cash was distributed to partners. Profit and loss ratio is 3:1, respectively. How much is the total cash received by Bingo upon liquidation of the partnership?
Bing and Bingo decided to dissolve and liquidate the partnership on June 16, 2020. On that date, the following account balances are as follows: ASSETS LIABILITIES AND EQUITY Cash P15,000 Accounts Payable P170.000 Other Assets 320,000 Loan. Bing 30.000 Advances to Bingo 35.000 Bing, Capital 60.000 Bingn, Capital 110000 Total Assets P370,000 Total Liabilities and Equity P370,000 On July 1, non-cash assets with a book value of P190,000 were sold at P165,000, and paid liquidation expenses, P6,000. On July 23, the remaining non-cash assets were sold at P80,000, and all available cash was distributed to partners. Profit and loss ratio is 3:1, respectively. How much is the total cash received by Bingo upon liquidation of the partnership?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Problem:
Transcribed Image Text:Bing and Bingo decided to dissolve and liquidate the partnership on June 16, 2020. On that date, the following
account balances are as follows:
ASSETS
LIABILITIES AND EQUITY
Cash
P15,000
Accounts Payable
P170.000
Other Assets
320,000
Loan. Bing
30.000
Advances to Bingo
35.000
Bing, Capital
60.000
Bingn, Capital
110000
Total Assets
P370,000
Total Liabilities and Equity
P370,000
On July 1, non-cash assets with a book value of P190,000 were sold at P165,000, and paid liquidation expenses,
P6,000. On July 23, the remaining non-cash assets were sold at P80,000, and all available cash was distributed to
partners. Profit and loss ratio is 3:1, respectively.
How much is the total cash received by Bingo upon liquidation of the partnership?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education