Dellosa bought Longalong's interest in the Seechua and Longalong Partnership by a P600,000 direct payment to Longalong. The capital balances before the sale were P240,000 and P360,000, respectively. What will be the amount in Dellosa's Capital account? * O P300,000 P360,000 O P480,000 O P600,000
Dellosa bought Longalong's interest in the Seechua and Longalong Partnership by a P600,000 direct payment to Longalong. The capital balances before the sale were P240,000 and P360,000, respectively. What will be the amount in Dellosa's Capital account? * O P300,000 P360,000 O P480,000 O P600,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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I need correct answer and correct computation. Thank you!
Transcribed Image Text:TNT u 6 O
ON 68% 11:15
Dellosa bought Longalong's interest
in the Seechua and Longalong
Partnership by a P600,000 direct
payment to Longalong. The capital
balances before the sale were
P240,000 and P360,000,
respectively. What will be the amount
in Dellosa's Capital account? *
P300,000
P360,000
P480,000
P600,000
Espiritu and Cheng have the
following profit and loss agreement:
salaries of P30,000 and P45,000 for
Espiritu and Cheng, respectively; a
bonus to Espiritu of 10% of profit
after salaries and bonus; interest of
10% of average capital balances of
P20,000 and P35,000 for Espiritu
and Cheng, respectively; and any
balance equally. If the profit is
P102,500, how much should be
Transcribed Image Text:TNT a O
ON 68%
DI 11:15
In its first year of operations, the
partnership of Reyes, Balino, and
Dimalanta made a profit of P20,000,
before providing for salaries of
P5,000 and P3,000 per annum for
Reyes and Balino, respectively. The
capital contributions of the partners
are as follows: Reyes, P30,000;
Balino, P20,000 and Dimalanta,
P10,000. Assuming that no profit or
loss ratio are provided in the
partnership agreement and that
there has been no change in the
capital contribution during the year,
how much profit share would Reyes
be entitled to receive? *
O P11,000
O P15,000
O P10,000
O P5,000
Dellosa bought Longalong's interest
in the Seechua and Longalon
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