Required: SHOW THE FOLLOWING 1.The total loss from the liquidation of the partnership 2. Prepare the statement of liquidation. 3. Journal entries to record the liquidation.
The partnership accounts of Guess, Jag and Levis are shown below as of December 31, 2019.
Guess, Drawing (debit balance)P(32,000)
Levis, Drawing (debit balance) (12,000)
Jag, Loan 40,000
Guess, Capital 164,000 Jag, Capital 134,000
LevisCapital 144,000
Total assets amounted to P 638,000, including cash of P 70,000, and P 200,000 worth of liabilities. On January 2019, the partnership was liquidated, and Jag received P 111,000 cash as final settlement.
Required: SHOW THE FOLLOWING
1.The total loss from the liquidation of the partnership
2. Prepare the statement of liquidation.
3.
Trending now
This is a popular solution!
Step by step
Solved in 5 steps