The partnership of DBM, TRA and MDS become insolvent on December 31, 2018 and is to be liquidated. DBM, TRA and MDS have the following balances, respectively: P455,000, (P210,000), and (P28,000). After paying their personal liabilities, DBM has still P70,000 while TRA has P105,000 of their personal assets. However, MDS has unpaid personal liabilities amounting to P280,000 and his personal assets amounted only to P210,000. The partners share profits and losses equally. How much is the maximum amount that DBM can expect to receive from the partnership?
The partnership of DBM, TRA and MDS become insolvent on December 31, 2018 and is to be liquidated. DBM, TRA and MDS have the following balances, respectively: P455,000, (P210,000), and (P28,000). After paying their personal liabilities, DBM has still P70,000 while TRA has P105,000 of their personal assets. However, MDS has unpaid personal liabilities amounting to P280,000 and his personal assets amounted only to P210,000. The partners share profits and losses equally. How much is the maximum amount that DBM can expect to receive from the partnership?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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