Required: Prepare the statement of liquidation. Vic, Victor and Vincent are partners in Valentine partnership. They share profits and Lump-sum Liquidation Exercise 3. losses equally. Their financial position prior to liquidation follows: Partnership is insolvent and partner/s are personally insolvent. Valentine Partnership Statement of Financial Position As at August 31, 20xx Assets Liabilities and Capital P 80,000 Liabilities P 480,000 Cash Non-cash Assets Vic, Capital Victor, Capital Vincent, Capital Total Liabilities and Capital P 880.000 800,000 40,000 120,000 240.000 Total Assets P 880,000 The personal assets and liabilities of the partners, beside their equities in the partnership, are as follows: Personal Assets Personal Liabilities Partners P300,000 P800,000 P500,000 P 40,000 Vic P500,000 Victor P140,000 Vincent Solvent partners are going to invest when cash is needed. Non-cash assets are sold for P425,000. Liabilities in the amount of P480,000 are paid.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Required: Prepare the statement of liquidation..
Vic, Victor and Vincent are partners in Valentine partnership. They share profits and
losses equally. Their financial position prior to liquidation follows:
Lump-sum Liquidation
Partnership is insolvent and partner/s are personally insolvent.
Exercise 3.
Valentine Partnership
Statement of Financial Position
As at August 31, 20xx
Assets
Liabilities and Capital
P 80,000
800,000
Liabilities
Cash
Non-cash Assets
P 480,000
40,000
Vic, Capital
Victor, Capital
Vincent, Capital
Total Liabilities and Capital P 880.000
120,000
240.000
Total Assets
P 880,000
The personal assets and liabilities of the partners, beside their equities in the
partnership, are as follows:
Personal Assets
Personal Liabilities
Partners
P800,000
P500,000 :
P 40,000
P300,000
P500,000
Vic
Victor
P140,000
Vincent
Solvent partners are going to invest when cash is needed. Non-cash assets are sold
for P425,000. Liabilities in the amount of P480,000 are paid.
Transcribed Image Text:Required: Prepare the statement of liquidation.. Vic, Victor and Vincent are partners in Valentine partnership. They share profits and losses equally. Their financial position prior to liquidation follows: Lump-sum Liquidation Partnership is insolvent and partner/s are personally insolvent. Exercise 3. Valentine Partnership Statement of Financial Position As at August 31, 20xx Assets Liabilities and Capital P 80,000 800,000 Liabilities Cash Non-cash Assets P 480,000 40,000 Vic, Capital Victor, Capital Vincent, Capital Total Liabilities and Capital P 880.000 120,000 240.000 Total Assets P 880,000 The personal assets and liabilities of the partners, beside their equities in the partnership, are as follows: Personal Assets Personal Liabilities Partners P800,000 P500,000 : P 40,000 P300,000 P500,000 Vic Victor P140,000 Vincent Solvent partners are going to invest when cash is needed. Non-cash assets are sold for P425,000. Liabilities in the amount of P480,000 are paid.
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