C1, C2 and C3 are partners sharing profits and losses in the ratio of 4:3:3, respectively. The condensed statement of financial position as of December 1, 2019 includes: cash, P100,000; other assets, P260,000; liabilities, P80,000; C1 capital, P120,000; C2 capital, P80,000; and C3 capital, P80,000. All the partners agree to admit C4 as 1/6 partner in the partnership without any asset revaluation nor bonus. What amount of Investment should C4 contribute? 56,000
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.
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