Jungkook, a partner in BTS Accounting firm, decided to retire from the partnership. Jungkook has a 30% share in profit or loss of the partnership. In the final settlement of Jungkook's interest, the partnership paid him P86,000,although his capital balance before his retirement was only P80,000. The P6,000difference implied that an equipment was undervalued, for which an appropriate adjustment was taken up in the books of the partnership. The total partner's capitals before Jungkook's retirement and before adjustment of equipment to fair value was P270.000. What would be partnership's net assets after the retirement of Jungkook? *

Jungkook, a partner in BTS Accounting firm, decided to retire from the partnership. Jungkook has a 30% share in profit or loss of the partnership. In the final settlement of Jungkook's interest, the partnership paid him P86,000,although his capital balance before his retirement was only P80,000. The P6,000difference implied that an equipment was undervalued, for which an appropriate adjustment was taken up in the books of the partnership. The total partner's capitals before Jungkook's retirement and before adjustment of equipment to fair value was P270.000. What would be partnership's net assets after the retirement of Jungkook? *

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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