The following is the balance sheet of the fellowship. Other Assets Zendaya's Receivables $290,000 Accounts Payable Zendaya's Capital Moursh's Capital Total Liabilities $90,000 $15,000 $110,000 $105,000 Total Assets $305,000 $305,000 Zendaya and Moursh share a profit and loss sharing ratio of 55% : 45%. They agreed to liquidate the partnership. If other assets are sold for $310,000. So how much cash is available to be distributed to each partners?
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
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