The condensed statement of financial position of the partnership of Buenaflor and Gangoso as of Dec. 31, 2019 showed the following: Total Assets P200,000 Total Liabilities 40,000 Buenaflor Capital 80,000 Gangoso, Capital 80,000 On this date, the partnership was dissolved and its net assets tranferred to a newly formed corporation. The fair value of the assets was P24,000 more than the carrying value on the firms books. Each of the partners was issued 10,000 shares of the corporation's P1 par ordinary share. Required: Prepare the journal entries in the books of the corporation.
The condensed statement of financial position of the partnership of Buenaflor and Gangoso as of Dec. 31, 2019 showed the following: Total Assets P200,000 Total Liabilities 40,000 Buenaflor Capital 80,000 Gangoso, Capital 80,000 On this date, the partnership was dissolved and its net assets tranferred to a newly formed corporation. The fair value of the assets was P24,000 more than the carrying value on the firms books. Each of the partners was issued 10,000 shares of the corporation's P1 par ordinary share. Required: Prepare the journal entries in the books of the corporation.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The condensed
Total Assets P200,000
Total Liabilities 40,000
Buenaflor Capital 80,000
Gangoso, Capital 80,000
On this date, the partnership was dissolved and its net assets tranferred to a newly formed corporation. The fair value of the assets was P24,000 more than the carrying value on the firms books. Each of the partners was issued 10,000 shares of the corporation's P1 par ordinary share.
Required:
Prepare the
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