KB and Care partners with capital balances of P300,000, P300,000 and P200,000, respectively. The partners share in profits and losses equally. C is to retire and it is agreed that he would take furniture with carrying amount of P65,000 and a note for the balance of his interest. The fair value of the fumiture is P50,000; however, a brand-new fumiture would cost PS0,000.
KB and Care partners with capital balances of P300,000, P300,000 and P200,000, respectively. The partners share in profits and losses equally. C is to retire and it is agreed that he would take furniture with carrying amount of P65,000 and a note for the balance of his interest. The fair value of the fumiture is P50,000; however, a brand-new fumiture would cost PS0,000.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
15. Under Millan book. This is not a part of our exam but is included in the reference book and I want to review its answer.
Transcribed Image Text:15. The amount of the note issued to Cis
a. 120,000.
b. 135,000.
c 145,000.
d. 150,000.
Transcribed Image Text:A,B and Care partners with capital balances of P300,000, P300,000
and P200,000, respectively. The partners share in profits and losses
equally. Cis to retire and it is agreed that he would take furniture
with carrying amount of P65,000 and a note for the balance of his
interest. The fair value of the fumiture is P50,000; however, a
brand-new fumiture would cost P80,000.
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