Sa, Nah, Pasa formed a joint operation. Sa is to act as managing joint operator and is designated to record the joint operation accounts in his books. As manager, he is allowed a salary of P12,000. Remaining profit (loss) is to be divided equally.The following balances appear at the end of 20x0 before adjustments for joint operation’s inventory and profits. Joint operations cash (dr), 51,000; Nah, capital (dr), 6,000; Pasa capital (cr), 30,000. The arrangement is to terminate on December 31, 2020 with unsold merchandise costing P13,000. Assuming that the joint operations loss is P1,000, what is the balance of the Joint Operation’s account before the distribution of profit?
Sa, Nah, Pasa formed a joint operation. Sa is to act as managing joint operator and is designated to record the joint operation accounts in his books. As manager, he is allowed a salary of P12,000. Remaining profit (loss) is to be divided equally.The following balances appear at the end of 20x0 before adjustments for joint operation’s inventory and profits. Joint operations cash (dr), 51,000; Nah, capital (dr), 6,000; Pasa capital (cr), 30,000. The arrangement is to terminate on December 31, 2020 with unsold merchandise costing P13,000. Assuming that the joint operations loss is P1,000, what is the balance of the Joint Operation’s account before the distribution of profit?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Sa, Nah, Pasa formed a joint operation. Sa is to act as managing joint operator and is designated to record the joint operation accounts in his books. As manager, he is allowed a salary of P12,000. Remaining
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education