Partners Soul and Mate who have been dividing profits and losses in 2 points the ratio of 3:2. respectively, decided to liquidate their partnership. Capital balances before liquidation were: Soul-P40,000: Mate-P 30,000. After paying in full liabilities of P 30,000, they have P 49,000 cash to divide. How much is the total loss on realization? in the settlement to partners. how much did Soul receive? in the settlement to partners, how much did Mate receive?
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is 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, drawings of a partner, etc.
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