Exercise 2-3 Record the entries of the partnership formation for the following independentcases:Case A-On July 1, 2020, Rose, Guada and Marie decided to form the Argem Company, a generalpartnership. Rose invested cash worth P 500,000 and a computer that cost her P 60,000 withAccumulated Depreciation of P 15,000. Guada invested office tables and chairs worth P 100,000and Marie invests her management expertise to the business operation.Case B- On May 1, 2020, Romy and Vic formed a partnership contributing assets with thefollowing agreed valuations:BuildingOffice EquipmentFurniture and FixtureCashAccounts ReceivableAllowance for Doubtful AccountsRomyP1,500,00030,000The partners agreed that the partnership will assume the P 300,000 mortgage loan on Buildingand that Vic will contribute additional cash to make his capital balances equal to 40% of the totalpartnership equity.Office SuppliesOffice EquipmentCase C- After the formation of RGM Partnership on July 4, 2020, the balances in the generalledger accounts reflect the following balances:Furniture and FixtureRosario, CapitalGuadalupe, CapitalMaria, CapitalDebit205,00095,000Vic12,000320,000140,000220,00050,000772,000CreditP 10,000320,000225,000217,000P772,000Rosario invested the office equipment, Guadalupe invested accounts receivable and Furnitureand Fixtures, and Maria invested cash and office supplies. Prepare the initial statement offinancial position for the newly formed partnership.

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Exercise 2-3 Record the entries of the partnership formation for the following independent cases: Case A-On July 1, 2020, Rose, Guada and Marie decided to form the Argem Company, a general partnership. Rose invested cash worth P 500,000 and a computer that cost her P 60,000 with Accumulated Depreciation of P 15,000. Guada invested office tables and chairs worth P 100,000 and Marie invests her management expertise to the business operation.

Exercise 2-3 Record the entries of the partnership formation for the following independent cases: Case A-On July 1, 2020, Rose, Guada and Marie decided to form the Argem Company, a general partnership. Rose invested cash worth P 500,000 and a computer that cost her P 60,000 with Accumulated Depreciation of P 15,000. Guada invested office tables and chairs worth P 100,000 and Marie invests her management expertise to the business operation.

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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