Problem #2 _ump-Sum Liquidation Pangilinan, Gum ban, and Borda are liquidating their business. They share profits and osses in a 1:2:3 ratio, respectively, and currently have capital balances of P150,000, P130,000, and P120,000, respectively In addition, the partnership has P50,000 in cash, P150,000 in accounts payable, and P500,000 in noncash assets. Pangilinan and Gum ban are personally solvent, but Borda is not. Assuming that the noncash assets are sold for P200, 000. Prepare all liquidation journal entries!

Problem #2 _ump-Sum Liquidation Pangilinan, Gum ban, and Borda are liquidating their business. They share profits and osses in a 1:2:3 ratio, respectively, and currently have capital balances of P150,000, P130,000, and P120,000, respectively In addition, the partnership has P50,000 in cash, P150,000 in accounts payable, and P500,000 in noncash assets. Pangilinan and Gum ban are personally solvent, but Borda is not. Assuming that the noncash assets are sold for P200, 000. Prepare all liquidation journal entries!

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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