On January 1, ABC, DEF and GHI admitted JKL as a new partner. The partners were sharing profits in a ratio of 5:3:2 for ABC, DEF and GHI respectively. The capital balances of the partners are as follows: ABC DEF GHI 175,750 148,000 111,000 JKL will contribute cash of P160,000 to the partnership and will purchase 10% of ABC's share for P15,000. JKL is to have 40% share in the partnership. After the admission of JKL the total capital will be P650,000. Compute for the capital balance of DEFinder from the Student Handbook: Code of Ethics- 24.
On January 1, ABC, DEF and GHI admitted JKL as a new partner. The partners were sharing profits in a ratio of 5:3:2 for ABC, DEF and GHI respectively. The capital balances of the partners are as follows: ABC DEF GHI 175,750 148,000 111,000 JKL will contribute cash of P160,000 to the partnership and will purchase 10% of ABC's share for P15,000. JKL is to have 40% share in the partnership. After the admission of JKL the total capital will be P650,000. Compute for the capital balance of DEFinder from the Student Handbook: Code of Ethics- 24.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On January 1, ABC, DEF and GHI admitted JKL as a new partner. The
partners were sharing profits in a ratio of 5:3:2 for ABC, DEF and GHI
respectively. The capital balances of the partners are as follows:
ABC
DEF
GHI
LOAD
175,750
148,000
111,000
JKL will contribute cash of P160,000 to the partnership and will purchase 10%
of ABC's share for P15,000. JKL is to have 40% share in the partnership.
After the admission of JKL the total capital will be P650,000. Compute for the
capital balance of DEFinder from the Student Handbook: Code of Ethics- 24.
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