of financial position for Paraiso and Ligeralde Partnership on June 1, 200 Assets Liabilities & Capital P 50,000 Liabilities P200,000 225,000 ssets 550,000 Paraiso, capital 175.000 P 600.000 so and Ligeralde share profits and losses 60:40, respectively. In June, ass ere sold for P180,000, creditors were paid in full, and P20,000 was paid to pok value of P100,000 were sold for P120,000, liquidation expenses of P Ligeralde, capital Total Liabilities & Capital sets P600.000 00 was paid to partners In August the remaining assets were sold for P2

of financial position for Paraiso and Ligeralde Partnership on June 1, 200 Assets Liabilities & Capital P 50,000 Liabilities P200,000 225,000 ssets 550,000 Paraiso, capital 175.000 P 600.000 so and Ligeralde share profits and losses 60:40, respectively. In June, ass ere sold for P180,000, creditors were paid in full, and P20,000 was paid to pok value of P100,000 were sold for P120,000, liquidation expenses of P Ligeralde, capital Total Liabilities & Capital sets P600.000 00 was paid to partners In August the remaining assets were sold for P2

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

P12-2C At the end of its first year of operations on December 31, 2012, the LAX Company's Journalize divisions of net in- accounts show the following. come and prepare a partners' capital statement. Partner Drawings $12,000 9,000 4,000 Сapital $33,000 (SO 3, 4) J. Leno L. Arthur 20,000 10,000 J. Xavier The capital balance represents each partner's initial capital investment. Therefore, net income or net loss for 2012 has not been closed to the partners' capital accounts. Instructions (a) (1) Leno $20,000 (2) Leno $14,000 (3) Leno $24,200 (a) Journalize the entry to record the division of net income for 2012 under each of the follow- ing independent assumptions. (1) Net income is $40,000. Income is shared 5:3:2. (2) Net income is $30,000. Leno and Arthur are given salary allowances of $11,000 and $10,000, respectively. The remainder is shared equally. (3) Net income is $33,000. Each partner is allowed interest of 10% on beginning capital bal- ances. Leno is given an $18,000 salary…
On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership. The following information was made available: Cash Accounts receivable Inventory Equipment Total Accounts payable A, Capital (20%) B, Capital (30%) C, Capital (50%) Total 80,000 240,000 480,000 1,200,000 2,000,000 600,000 200,000 400,000 800,000 2,000,000 The net proceeds from the sale of non-cash assets amounted to P260,000. The personal assets and personal liabilities of the partners are as follows: A с B Personal assets 1,200,000 1,040,000 800,000 Personal liabilities (880,000) (880,000) (1,280,000) How much additional contributions shall be made by the partners in order to settle all of the partnership liabilities?
The following data were taken from the books of A&B Co, a partnership of Alpha and Beta for 20x1: Alpha Capital 240,000 Beta, Capital 360,000 PL ratio 1:2 Net income for the year 260,000 The partners agreed on the following profit and loss sharing terms: Salary of P 5,000 a month for Beta 10% interest on the capital balances 20% bonus for Alpha Round your answer to the nearest thousandth. How much is the share of Beta if bonus is to be computed after deducting salaries and interest? P 171,000 P 156,000 P 104,000 Some other amount How much is the share of Alpha if bonus is to be computed after salaries, interest and bonus? P 89,000 P 171,000 P 86,000 P174,000
On September 15, 2021, LCM Partnership entered into liquidation. The partners' profit and loss ratios and capital balances on this date were as follows: L 25% 2,500,000.00 C 35% 5,400,000.00 M 40% 3,700,000.00 Total 11,600,000.00 The partnership has liabilities amounting to P 4,400,000, including a loan from C in the amount of P600,000. Cash on hand before starting the liquidation process is P 800,000. Non-cash assets amounting to P 7,400,000 were sold at book value and the remainder of the non-cash assets were sold at a loss of P 4,200,000. How much cash will be distributed to the partners?
Light, Day and Fire of Sunshine Partnership with a profit and loss sharing ratio of 25%, 15% and 60% respectivelyhas the following account balances:>DUring June, some non cash assets were sold that resulted to a loss of P20,000. Liquidation expenses of P31,000 were paid and additional expenses amounting to P24,000 were expected to be incurred through the following month of liquidating the partnership. > Liabilities to outsiders amounting to P79,000 were paid. > For Fire to receive P31,000 on the first distribution of cash, How much is the book value of the unsold Non-cash assets ?
3.14 Cue and Peed entered into a partnership on March 1, 200A. They T agreed that Cue, the managing partner was to receive a salary 10 neallowance of P 24,000 per year and a bonus of 10% of the net profit after the salary allowance but before the bonus. The balance is to b e distributed in the ratio of their initial capital. Selected ledger accounts on December 31, 200A prior to adjustments showed the following balances: Salesgns 22ol bns P 300,000 ge gnisda o3,000 ollo) visoo 180,000 1sini s10 48,000 Sales Returns 290sw zunod ts Purchases 1 Operating Expenses bs la01Stni o1o 48,000 200,000 00020,000 1o g 2290x Cue Capital Cue Drawing Peed Capital 0 Peed Drawing Inventories at year-end were bns I 100,000 10,000 as follows: Office supplies, P 810 and merchandise, P 50,000. Prepaid insurance of 0P 1,200 and accrued expenses of P 400 are to be recognized. Depreciation of P 4,000 is to be provided. REQUIRED: Prepare the Statement of Partners ' Equity for the 10- month period ended December…
On January 1, 20x20. ACJ Partnership entered into liquidation. The partners' capital balances on this date were as follows: A (25%) P2,500,000; C (35%) P5,400,0003; J (40%) P3.700,000. The partnership has liabilities amounting to P4,400,000, including a loan from C P600.000. Cash on hand before the start of liquidation is P800,000. Noncash assets amounting to P7,400,000 were sold at book value and the rest of the noncash assets were sold al a loss of P4.200,000. How much cash will be distributed to the partners?
On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership. 80,000 240,000 480,000 1,200,000 2,000,000 Cash Accounts receivable Inventory Equipment Total Accounts payable to B Payable A, Capital (20%) B, Capital (30%) C, Capital (50%) 800,000 Total 2,000,000 Information on the conversion of non-cash assets is as follows: 120,000 80,000 400,000 600,000 • $40,000 was collected on accounts receivable; the balance is uncollectible. $20,000 was received for the entire inventory. . The equipment was sold for $200,000./ $8,000 liquidation expenses were paid. • • #108,000 was paid to outside creditors, after offset of a 12,000 credit, memorandum received on January 2, 20x1. All of the partners are personally solvent. How much did B receive from the settlement of his interest in the partnership?
16. On January 1, 20x1, the partners of ABC Co. decided to liquidate their partnership on installment basis. Distributions to partners shall be made as cash becomes available. The following information was made available: Dr. 40,000 120,000 Cr. . Cash Accounts receivable Receivable from c 20,000 240,000 600,000 Inventory Equipment Accounts payable Payable to B A, Capital (20%) A, Drawing B, Capital (30%) C, Capital (50%) C, Drawings Totals 60,000 40,000 200,000 40,000 300,000 400,000 60,000 1,060,000 1,060,000 During January, non-cash assets with carrying amount of P260,000 was sold for P120,000. Disposal costs amounted to P40,000. All of the partners are personally insolvent. How much did B receive on the cash distribution to the partners? a. 60,000 b. 74,000 c. 76,000 d. 0