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The liquidation of the partnership of Cheska, Darryl and Eunice resulted in a deficiency in Cheska’s capital account of P100,000. Cheska can contribute only P25,000 to offset her deficiency. Darryl and Eunice, who have capital balances of P250,000 and P50,000 and share profits and losses in the ratio of 2:3 will absorb the deficiency as follows: A. Darryl – P30,000; Eunice – P45,000 B. Darryl – P37,500; Eunice – P37,500 C. Darryl – P45,000; Eunice – P30,000 D. Darryl – P0; Eunice – P0 WHAT IS THE CORRECT LETTER OF THE ANSWER

The liquidation of the partnership of Cheska, Darryl and Eunice resulted in a deficiency in Cheska’s capital account of P100,000. Cheska can contribute only P25,000 to offset her deficiency. Darryl and Eunice, who have capital balances of P250,000 and P50,000 and share profits and losses in the ratio of 2:3 will absorb the deficiency as follows: A. Darryl – P30,000; Eunice – P45,000 B. Darryl – P37,500; Eunice – P37,500 C. Darryl – P45,000; Eunice – P30,000 D. Darryl – P0; Eunice – P0 WHAT IS THE CORRECT LETTER OF THE ANSWER

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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  1. The liquidation of the partnership of Cheska, Darryl and Eunice resulted in a deficiency in Cheska’s capital account of P100,000. Cheska can contribute only P25,000 to offset her deficiency. Darryl and Eunice, who have capital balances of P250,000 and P50,000 and share profits and losses in the ratio of 2:3 will absorb the deficiency as follows:

A. Darryl – P30,000; Eunice – P45,000

B. Darryl – P37,500; Eunice – P37,500

C. Darryl – P45,000; Eunice – P30,000

D. Darryl – P0; Eunice – P0

WHAT IS THE CORRECT LETTER OF THE ANSWER?

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