• EXERCISE 8-5. Journal Entries and Statement Preparation 1: Loss on realization of non-cash assets. The following statement of financial position was prepared on the day th tutorial business of Beth, Myra, and Pinky commenced winding up its affairs and operations: BMP Tutorial Services Statement of Financial Position March 31, 2019 Cash P130,000 Liabilities P95,000 Non-cash Assets 380,000 Beth, Loan 10,000 Beth, Capital 100,000 Myra, Capital 125,000 Pinky, Capital 180,000 Total Liabilities & Total Assets P510,000 P510,000 Partners' Equity REQUIRED: 1. Prepare the journal entries to record liquidation of the partnership under each of the following independent situations: 1. The non-cash assets were sold for P305,000. They agreed that profits and losses would be shared equally. 2. The non-cash assets were sold for P305,000. Beth, Myra, and Pinky share profits and losses in the ratio of 1:3:6, respectively. 2. Prepare statement of liquidation for Item 1b.

• EXERCISE 8-5. Journal Entries and Statement Preparation 1: Loss on realization of non-cash assets. The following statement of financial position was prepared on the day th tutorial business of Beth, Myra, and Pinky commenced winding up its affairs and operations: BMP Tutorial Services Statement of Financial Position March 31, 2019 Cash P130,000 Liabilities P95,000 Non-cash Assets 380,000 Beth, Loan 10,000 Beth, Capital 100,000 Myra, Capital 125,000 Pinky, Capital 180,000 Total Liabilities & Total Assets P510,000 P510,000 Partners' Equity REQUIRED: 1. Prepare the journal entries to record liquidation of the partnership under each of the following independent situations: 1. The non-cash assets were sold for P305,000. They agreed that profits and losses would be shared equally. 2. The non-cash assets were sold for P305,000. Beth, Myra, and Pinky share profits and losses in the ratio of 1:3:6, respectively. 2. Prepare statement of liquidation for Item 1b.

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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