Lindsey and Ruth are partners with capital balances of P 60,000 and P 20,000, respectively. Profits and losses are divided in the ratio of 6:4. Lindsey and Ruth decided to form a new partnership with Jobelle, who invested land valued at P 15,000 for a 20% capital interest in the new partnership. Jobelle’s cost of the land was P 12,000. What is the capital balance of Lindsey after the admission of Ruth?
Lindsey and Ruth are partners with capital balances of P 60,000 and P 20,000, respectively. Profits and losses are divided in the ratio of 6:4. Lindsey and Ruth decided to form a new partnership with Jobelle, who invested land valued at P 15,000 for a 20% capital interest in the new partnership. Jobelle’s cost of the land was P 12,000. What is the capital balance of Lindsey after the admission of Ruth?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Lindsey and Ruth are partners with capital balances of P 60,000 and P 20,000, respectively.
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