Following is the statement of financial position of ABC Partnership before realization of assets on July 1, 2020: Cash 10,000 Liabilities 28,000 A, 50,000 Сapital Accounts 45,000 receivable B, 30,000 Сapital Inventory 27,000 C. Capital Equipment 60,000 50,000 Total 150,000 Total 150,000 The partners share income 30:30:40, respectively. On July 2, the partnership liquidated, 50% of the receivables are collected and that inventory is sold for 15,000. Equipment is sold for 40,000. How much is to be distributed to B?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
Following is the statement of financial position of ABC Partnership before realization of assets on July 1,
2020:
Cash
10,000 Liabilities 28,000
Accounts
receivable
A,
50,000
Capital
45,000
B,
30,000
Сaptal
Inventory
27,000
c,
60,000
Сaptal
Equipment
50,000
Total
150,000 Total
150,000
The partners share income 30:30:40, respectively. On July 2, the partnership liquidated, 50% of the
receivables are collected and that inventory is sold for 15,000. Equipment is sold for 40,000. How much is to
be distributed to B?
Transcribed Image Text:Following is the statement of financial position of ABC Partnership before realization of assets on July 1, 2020: Cash 10,000 Liabilities 28,000 Accounts receivable A, 50,000 Capital 45,000 B, 30,000 Сaptal Inventory 27,000 c, 60,000 Сaptal Equipment 50,000 Total 150,000 Total 150,000 The partners share income 30:30:40, respectively. On July 2, the partnership liquidated, 50% of the receivables are collected and that inventory is sold for 15,000. Equipment is sold for 40,000. How much is to be distributed to B?
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education