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?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Under partnership liquidation

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?
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?
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