H and I are partners sharing profits and losses in the ratio of 6:4 respectively. On January 2, the partners decided to admit J as a new partner upon his investment of P96,000. On this date, the interest in the partnership of H and I are as follows: H, P138,000; I, P111,600. Assuming that the new partner is given a ¼ interest in the firm. The partnership uses bonus method in admitting J into the partnership. The admission of a new partner will result to which of the following: a. total capitalization of partnership after admission of J is P345,600 b. Bonus from I is P3,840 c. Bonus to J is P9,600 d. bonus from H is P5,760
H and I are partners sharing profits and losses in the ratio of 6:4 respectively. On January 2, the partners decided to admit J as a new partner upon his investment of P96,000. On this date, the interest in the partnership of H and I are as follows: H, P138,000; I, P111,600. Assuming that the new partner is given a ¼ interest in the firm. The partnership uses bonus method in admitting J into the partnership. The admission of a new partner will result to which of the following: a. total capitalization of partnership after admission of J is P345,600 b. Bonus from I is P3,840 c. Bonus to J is P9,600 d. bonus from H is P5,760
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
H and I are partners sharing
partners decided to admit J as a new partner upon his investment of P96,000. On this date, the
interest in the
new partner is given a ¼ interest in the firm. The partnership uses bonus method in admitting J into
the partnership. The admission of a new partner will result to which of the following:
a. total capitalization of partnership after admission of J is P345,600
b. Bonus from I is P3,840
c. Bonus to J is P9,600
d. bonus from H is P5,760
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