See the problem in the photo below.On this date, the partnership was dissolved and its net assets transferred to a newly-formed corporation. The fairvalue of the assets was P24,000 more than the carrying value on the firm’s books. Each of the partners was issued10,000 shares of the corporation’s P1 par ordinary share.Prepare the journal entries in the books of the corporation. c. The condensed Statement of Financial Position of the partnership of Buenaflor and Gangoso as of December 31,2018 showed the following:Total AssetsP200,000Total Liabilities40,000Buenaflor, Capital80,000Gangoso, Capital80,000On this date, the partnership was dissolved and its net assets transferred to a newly-formed corporation.value of the assets was P24,000 more than the carrying value on the firm's books. Each of the partners was issued10,000 shares of the corporation's P1 par ordinary share.Prepare the journal entries in the books of the corporation.

Partnership is a formal agreement between two or more persons to operate a single business and to…

Answered: Prepare the journal entries in the…

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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See the problem in the photo below.

On this date, the partnership was dissolved and its net assets transferred to a newly-formed corporation. The fair
value of the assets was P24,000 more than the carrying value on the firm’s books. Each of the partners was issued
10,000 shares of the corporation’s P1 par ordinary share.

Prepare the journal entries in the books of the corporation.

c. The condensed Statement of Financial Position of the partnership of Buenaflor and Gangoso as of December 31,
2018 showed the following:
Total Assets
P
200,000
Total Liabilities
40,000
Buenaflor, Capital
80,000
Gangoso, Capital
80,000
On this date, the partnership was dissolved and its net assets transferred to a newly-formed corporation.
value of the assets was P24,000 more than the carrying value on the firm's books. Each of the partners was issued
10,000 shares of the corporation's P1 par ordinary share.
Prepare the journal entries in the books of the corporation.

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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