P400,000, P680,000 and P800,000, respectively. The partners - On January 1, 20x1, A, B and C decided to liquidate their partnership. On this date, the partners' capital balances were share in profits and losses on a 2:3:5 ratio. During the month. all the assets of the partnership were converted into P224,000 cash. The partnership has liabilities of P120,000. A and B are solvent but C is insolvent. How much did B receive from the settlement of his interest in the partnership?
P400,000, P680,000 and P800,000, respectively. The partners - On January 1, 20x1, A, B and C decided to liquidate their partnership. On this date, the partners' capital balances were share in profits and losses on a 2:3:5 ratio. During the month. all the assets of the partnership were converted into P224,000 cash. The partnership has liabilities of P120,000. A and B are solvent but C is insolvent. How much did B receive from the settlement of his interest in the partnership?
P400,000, P680,000 and P800,000, respectively. The partners - On January 1, 20x1, A, B and C decided to liquidate their partnership. On this date, the partners' capital balances were share in profits and losses on a 2:3:5 ratio. During the month. all the assets of the partnership were converted into P224,000 cash. The partnership has liabilities of P120,000. A and B are solvent but C is insolvent. How much did B receive from the settlement of his interest in the partnership?
Transcribed Image Text:4. On January 1, 20x1, A, B and C decided to liquidate their
partnership. On this date, the partners' capital balances were
P400,000, P680,000 and P800,000, respectively. The partners
share in profits and losses on a 2:3:5 ratio. During the month.
all the assets of the partnership were converted into P224,000
cash. The partnership has liabilities of P120,000. A and B are
solvent but C is insolvent. How much did B receive from the
settlement of his interest in the partnership?
Definition Definition Arrangement between two or more people whereby they agree to manage business operations and share its profits and losses in an agreed ratio. The agreement drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, and drawings of a partner.
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