On June 1, 2015, DAVE and MAR are combining their separate business to form a partnership. Cash and noncashassets are to be contributed. The noncash assets to be contributed and the liabilities to be assumed are as follows:DAVEFair valueMARBook valueAccount receivableInventoryPPEAccounts payableBook valueP 25,00040,000100,00015,000P26,250450,00091,250(15,000)P20,00020,00086,25011,250Fair valueP19,50020,75082.25011,250DAVE and MAR are to invest equal amounts of cash such at hat the contribution of DAVE would be 10% morethan the investment of MAR8. What is the amount of cash presented on the partnership's statement of financial position on June 1, 2015?D. 251,250A. 276,250B. 480,500C. 552,500

A partnership is a type of business structure in which two or more people (the partners) join…

On June 1, 2015, DAVE and MAR are combining their separate business to form a partnership. Cash and noncash assets are to be contributed. The noncash assets to be contributed and the liabilities to be assumed are as follows: DAVE MAR Book value Account receivable Inventory PPE Accounts payable Book value P25,000 40,000 100,000 15,000 Fair value P26.250 450,000 91,250 (15,000) P20,000 20,000 86,250 11,250 Fair value P19,500 20,750 82.250 11.250 DAVE and MAR are to invest equal amounts of cash such at hat the contribution of DAVE would be 10% more than the investment of MAR 8. What is the amount of cash presented on the partnership's statement of financial position on June 1, 2015? A. 276,250 B. 480,500 C. 552,500 D. 251,250

On June 1, 2015, DAVE and MAR are combining their separate business to form a partnership. Cash and noncash assets are to be contributed. The noncash assets to be contributed and the liabilities to be assumed are as follows: DAVE MAR Book value Account receivable Inventory PPE Accounts payable Book value P25,000 40,000 100,000 15,000 Fair value P26.250 450,000 91,250 (15,000) P20,000 20,000 86,250 11,250 Fair value P19,500 20,750 82.250 11.250 DAVE and MAR are to invest equal amounts of cash such at hat the contribution of DAVE would be 10% more than the investment of MAR 8. What is the amount of cash presented on the partnership's statement of financial position on June 1, 2015? A. 276,250 B. 480,500 C. 552,500 D. 251,250

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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