On December 31, 20x20, the Statement of Financial Position of ABC Partnership with profit or loss ratio of 6:1:3 of partners A, B and C respectively, revealed the following data: Cash P1,000,000 Other liabilities P2,000,000 Receivable from A 500,000 Payable to B 1,000,000 Other noncash assets 2,000,000 Payable to C 100,000 A, Capital 700,000 B, Capital (650,000) C, Capital 350,000 On January 1, 20x21, the partners decided to liquidate the partnership. All partners are legally declared to be personally insolvent. The other noncash assets are sold for P1,500,000. Liquidation expenses amounting to P100,000 were incurred. How much cash was received by C at the end of partnership liquidation?
57
On December 31, 20x20, the
|
Cash |
P1,000,000 |
Other liabilities |
P2,000,000 |
|
Receivable from A |
500,000 |
Payable to B |
1,000,000 |
|
Other noncash assets |
2,000,000 |
Payable to C |
100,000 |
|
|
|
A, Capital |
700,000 |
|
|
|
B, Capital |
(650,000) |
|
|
|
C, Capital |
350,000 |
On January 1, 20x21, the partners decided to liquidate the partnership. All partners are legally declared to be personally insolvent. The other noncash assets are sold for P1,500,000. Liquidation expenses amounting to P100,000 were incurred.
How much cash was received by C at the end of partnership liquidation?
Step by step
Solved in 2 steps
