Cash Accounts receivable Inventory Equipment Total Accounts payable Payable to B 80,000 240,000 480,000 1,200,000 2,000,000 120,000 80,000 400,000 600,000 A, Capital (20%) B, Capital (30%) C, Capital (50%) Total On January 1, 20x1, the partners of United Ent. decided to liquidate their partnership. nformation on the conversion of non-cash assets is as follows: 40,000 was collected on accounts receivable; the balance is uncollectible. P20,000 was received for the entire inventory.The quipment was sold for P200,000.P8,000 liquidation expenses were paid. P108,000 was paid to outside creditors, after offset of P12,000 credit,memorandum received on January 2, 20x1.All of the partners are personally solvent. How much did B receive rom the settlement of his interest in the partnership? 800,000 2,000,000

Cash Accounts receivable Inventory Equipment Total Accounts payable Payable to B 80,000 240,000 480,000 1,200,000 2,000,000 120,000 80,000 400,000 600,000 A, Capital (20%) B, Capital (30%) C, Capital (50%) Total On January 1, 20x1, the partners of United Ent. decided to liquidate their partnership. nformation on the conversion of non-cash assets is as follows: 40,000 was collected on accounts receivable; the balance is uncollectible. P20,000 was received for the entire inventory.The quipment was sold for P200,000.P8,000 liquidation expenses were paid. P108,000 was paid to outside creditors, after offset of P12,000 credit,memorandum received on January 2, 20x1.All of the partners are personally solvent. How much did B receive rom the settlement of his interest in the partnership? 800,000 2,000,000

Name: CashAccounts receivableInventoryEquipmentTotalAccounts payablePayable
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Description: CashAccounts receivableInventoryEquipmentTotalAccounts payablePayable to BA, Capital (20%)B, Capital (30%)C, Capital (50%)Total80,000240,000480,0001,200,0002,000,000120,00080,000400,000600,000800,0002,000,000On January 1, 20x1, the partners of Unite

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Problem 3 low is the balance sheet of Gold Ace Company immediately prior to the liquidation of the partnership: P500,000.00 1,900,000.00 P2,400,000.00 Cash Non-cash assets Total P1,100,000.00 Liabilities Capital Salazar Nenubla Gomez 480,000 00 320,000.00 500,000.00 P2,400,000.00 Total The partners share profits and losses in the ratio 50%, 30%, 20%. It is assumed that Salazar and Gomez have personal assets which are sufficient in amount to "make good" capital debit balances which may be created during the liquidation process. The non-cash assets of the partnership are realized in the amount of P600,000,00. Give the schedule of liquidation and the corresponding journal entries assuming a) nothing is realized from the three partners, b) capital deficiencies are paid.
44 If all the partners are insolvent and the non-cash assets were sold at P 10,000, what is the entry to eliminate the capital deficiency in the capital deficient partner? ABC Partnership have the following balances before liquidation: 250,000 500,000 Accounts payable A,loan A, Capital (40%) B, Capital (45%) C, Capital (15%). 50,000 10,000 190,000 350,000 150,000 Cash Non-cash assets O Debit A loan 6,000 Credit A,Capital 6,000 Debit Aloan 10,000 Credit A, Capital 10,000 Deoit B Capital 4.500 and C. Capital 1.500: Credit A Capital 6,000 ODebt A Capits 6000: Credit B Capital 4500 andc Cap ta 1,500
The partnership of Hendrick, Mitchum, and Redding has the following account balances: Cash Noncash assets a Maximum amount b Distributed $ 51,000 136,000 This partnership is being liquidated. Hendrick and Mitchum are each entitled to 30 percent of all profits and losses with the remaining 40 percent going to Redding. Hendrick Mitchum Liabilities Hendrick, capital Mitchum, capital Redding, capital a. What is the maximum amount that Redding might have to contribute to this partnership because of the deficit capital balance? b. How should the $10,000 cash that is presently available in excess of liabilities be distributed? c. If the noncash assets are sold for a total of $51,000, what is the minimum amount of cash that Hendrick could receive? (Do not round intermediate calculations.) Redding C Minimum amount $ 41,000 91,000 71,000 (16,000)
A desire to purchase one-fourth of capital and profit and loss interest in the partnership of B, C, and D. The three partners agree to sell A 20% of their respective capital and profit and loss interests in exchange for a total payment of P100,000. The payment is made directly to the individual partners. The capital accounts and the respective percentage interests in profits and losses immediately before the sale to A following B C D 168,000 104,000 48,000 50% 35% 15% Compute the capital balance to be credited to A.
ABC, DEF and GHI who share earnings 5:3:2, respectively, decided to liquidate their partnership at which time their condensed balance sheet was as follows: Cash Other Assets Total 50,000 Liabilities 250,000 ABC, Capital DEF, Capital GHI, Capital 300,000 Total 60,000 80,000 90,000 70,000 300,000 The sale of other assets of resulted to a realization of 120,000, it was also expected that an additional liquidation expense was incurred. During payment to partners GHI received P40,000. Compute for the amount to be received by DEF.
Prior to liquidation, the capitals are reported with the following balances: Partners Capitals P/L Ratio Alaska P160,000 1/3 Bilasa 290,000 2/3 The total liabilities of the partnership amount to P150,000, and all assets available are noncash assets were realized at P540,000. The cash distribution to Alaska and Bilasa respectively would be A. P130,000 P260,000 B. P190,000 P350,000 C. P135,000 P270,000 D. P140,000 P250,000 As of December 31, 2022, the books of AME Partnership showed capital balances of A, P40,000; M, P25,000; E P50,000. The partner’s profit and loss ratio was 3:2:1, respectively. The partners decided to liquidate and they sold all non-cash assets for P37,000. After settlement of all liabilities amounting to P12,000, they still have cash of P28,000 left for distribution. Assuming that any capital debit balance is uncollectible, the share of A in distribution of the P28,000 cash would be: A. P18,000 B. P0…
On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership. The following information was made available: Cash Accounts receivable Inventory Equipment Total Accounts payable A, Capital (20%) B, Capital (30%) C, Capital (50%) Total 80,000 240,000 480,000 1,200,000 2,000,000 600,000 200,000 400,000 800,000 2,000,000 The net proceeds from the sale of non-cash assets amounted to P260,000. The personal assets and personal liabilities of the partners are as follows: A с B Personal assets 1,200,000 1,040,000 800,000 Personal liabilities (880,000) (880,000) (1,280,000) How much additional contributions shall be made by the partners in order to settle all of the partnership liabilities?
Ideu, the d. P3,200 b. Р3,920 C. P4,500 d. P17,800 42. liquidate. All assets of the partnership just prior to liquidation follows: were liquidated. The condemsed statement of financial position Assets Cash Other assets liabilities and capital P140, 000 10, 000 45, 000 105, 000 200, 000 P500,000 P100, 000 liabilities Matias, loan Matias, capital Pagayanon, capital Pescasiosa, capital Total 400, 000 Total P500, 000 Other assets were sold for P247, 500 realizing a loss of P152, 500. Parties agreed to fully terminate the partnership's business thus, necessitating distribution of cash to partners and in case of capital deficiency, contribution of additional cash. The three partners were all solvent and could answer any capital deficiency. Name the partner and give the corresponding additional cash he had to invest due to his net capital deficiency to finally settle to the liquidation of the partnership. Pagayanon, P44,000 b Pescasiosa, P30, 500 Matias, P16,000 Matias, P6,000 a C
On December 31, 20x20, the Statement of Financial Position of UFC Partnership shows the following data with profit or loss sharing of 2:3:5. Cash P15,000,000 Liabilities to others P20,000,000 Other Noncash asset 40,000,000 U, Capital 15,000,000 F, Capital 12,500,000 C, Capital 7,500,000 On January 1, 20x21, the partners decided to wind up the partnership affairs. During the winding up, liquidation expenses amounted to P2,000,000 were paid. Non-cash assets with book value of P30,000,000 were sold during January. 40% of total liabilities were also paid during January. P3,000,000 cash was withheld during January for future liquidation expenses. On January 31, 20x21, partner U received P10,000,000. What is the amount received by partner F on January 31, 20x21?
On January 1, 20x20. ACJ Partnership entered into liquidation. The partners' capital balances on this date were as follows: A (25%) P2,500,000; C (35%) P5,400,0003; J (40%) P3.700,000. The partnership has liabilities amounting to P4,400,000, including a loan from C P600.000. Cash on hand before the start of liquidation is P800,000. Noncash assets amounting to P7,400,000 were sold at book value and the rest of the noncash assets were sold al a loss of P4.200,000. How much cash will be distributed to the partners?
On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership. 80,000 240,000 480,000 1,200,000 2,000,000 Cash Accounts receivable Inventory Equipment Total Accounts payable to B Payable A, Capital (20%) B, Capital (30%) C, Capital (50%) 800,000 Total 2,000,000 Information on the conversion of non-cash assets is as follows: 120,000 80,000 400,000 600,000 • $40,000 was collected on accounts receivable; the balance is uncollectible. $20,000 was received for the entire inventory. . The equipment was sold for $200,000./ $8,000 liquidation expenses were paid. • • #108,000 was paid to outside creditors, after offset of a 12,000 credit, memorandum received on January 2, 20x1. All of the partners are personally solvent. How much did B receive from the settlement of his interest in the partnership?
16. On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership on installment basis. Distributions to partners shall be made as cash becomes available. The following information was made available: Dr. 40,000 120,000 Cr. . Cash Accounts receivable Receivable from c 20,000 240,000 600,000 Inventory Equipment Accounts payable Payable to B A, Capital (20%) A, Drawing B, Capital (30%) C, Capital (50%) C, Drawings Totals 60,000 40,000 200,000 40,000 300,000 400,000 60,000 1,060,000 1,060,000 During January, non-cash assets with carrying amount of P260,000 was sold for P120,000. Disposal costs amounted to P40,000. All of the partners are personally insolvent. How much did B receive on the cash distribution to the partners? a. 60,000 b. 74,000 c. 76,000 d. 0