ADMISSION OF A PARTNER4.231(A) 4:3:5(C) 1:2:2() 2:2:1(D) 2:1:2HOTS61. A and B are partners sharing profits in the ratio of 2: 3. Their Balance Sheetshows Machinery at 2,00,000; Stock at 780,000 and Debtors at 1,60,000.Cis admitted and new profit sharing ratio is agreed at 6:9:5. Machinery isrevalued at 1,40,000 and a provision is made for doubtful debts @5%. A'sshare in loss on revaluation amount to 20,000. Revalued value of Stock willbe:6060.000(A) 62,000(B) 1,00,000(C) 60,000(D) 98,00062. A, B and C are partners sharing profits in ratio of 3:2:1. They agree to admitD into the firm. A, B and C agreed to give 1/3rd, 1/6th, 1/9th share of theirprofit. The share of profit of D will be:(A)1011(B)5412(C)5413(D)5463. Xand Y are partners sharing profits in the ratio 2:3. They admitted Z for 1/5thshare of profits, for which he paid 1,20,000 against capital and 60,000 asgoodwill. Find the capital balances for each partner taking Z's capital as basecapital.(A) 23,00,000, 1,20,000 and 1,20,000(B) 3,00,000, 1,20,000 and 1,80,000(C) 1,92,000, 2,88,000 and 1,20,000(D) 3,00,000, 1,80,000 and 1,80,00064. A, B, CandD are partners. A and B share 2/3rd of profits equally and C and Dshare remaining profits in the ratio of 3: 2. Find the profit sharing ratio of A,B, C and D.(A) 5:5:3:2(C) 2.5:2.5:8:6(B) 7:7:6:4(D) 3:9:8:3in case of admisstion of a65. Sacrificing ratio is used to distributepartner:(AL Reserves(B) Goodwillin Brofit and Loss Account

61. A and B are partners sharing profits in the ratio of 2:3. Their Balance St shows Machinery at 2,00,000; Stock at 80,000 and Debtors at 1,60, Cis admitted and new profit sharing ratio is agreed at 6:9:5. Machiner revalued at 1,40,000 and a provision is made for doubtful debts @5%. share in loss on revaluation amount to 20,000. Revalued value of Stock G0.000 be: (A) 262,000 (B) 1,00,000 (C) 260,000 (D) 98,000

61. A and B are partners sharing profits in the ratio of 2:3. Their Balance St shows Machinery at 2,00,000; Stock at 80,000 and Debtors at 1,60, Cis admitted and new profit sharing ratio is agreed at 6:9:5. Machiner revalued at 1,40,000 and a provision is made for doubtful debts @5%. share in loss on revaluation amount to 20,000. Revalued value of Stock G0.000 be: (A) 262,000 (B) 1,00,000 (C) 260,000 (D) 98,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter15: Partnership Accounting

Section: Chapter Questions

Problem 1PA: The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after...

See similar textbooks

Similar questions

The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after Tatum receives a 10,000 salary and Brook receives a 15,000 salary. Prepare a schedule showing how the profit and loss should be divided, assuming the profit or loss for the year is: A. $40,000 B. $25,000 C. ($5,000) In addition, show the resulting entries to each partners capital account. Tatums capital account balance is $50,000 and Brooks is $60,000.
AAA, BBB, CCC, and DDD are partners sharing profits in the ratio of 3/21, 4/21, 6/21, and 8/21. Their capital balances on December 31, 2030 are as follows:AAA P 500BBB 12,500CCC 12,500DDD 4,500The partners decide to liquidate their firm and they accordingly convert the noncash assets into P11,600 cash. After paying liabilities of P1,500, they have P11,100 to divide. How much was the distribution to partner CCC?a. P0 b. P3,560 c. P4,160 d.P7,100
A, B and C are partners of Push-it Partnership. Their capital balances are A- P400, B - P280 and C - P120. The following are their agreement in their profit sharing: 25% bonus to A based on profit after deducting the said bonus. B and C will be given 10% interest each on their capital balances. The remaining profits will be shared in the ratio of 5:2:1 for A, B and C respectively. How much is the profit share of A if the profit is P90? How much will be the income (loss) if the share ofA is P255? How much will be the income (loss) if the share of B is P21? How much will be the income (loss) if the share of C is P3?
X and Y are partners sharing profits 6:4, respectively. Capital accounts as of October are 1, 2021 X-P 560,000, Y-P 480,000 They agree to admit Z as a new partner with an investment of P260,000 for a interest in the partnership and that the assets are fairly valued, what would be the capital of Y after the admission of Z? A.P 480,000 B.P 506,000 C.P 454,000 D. P325,000
X and Y are partners sharing profits 6:4, respectively. Capital accounts as of October are 1, 2021 X-P 560,000, Y-P 480,000 They agree to admit Z as a new partner with an investment of P260,000 for a interest in the partnership and that the assets are fairly valued, what would be the capital of Y after the admission of Z? A. P 480,000 B. P 506,000 C. P 454,000 D. P325,000
A and S are partners sharing profit and loss in the ratio of 3:1. Their Statement of Financial Position(Balance Sheet) stood as at 31.12.2020 as follows: A and S Partnership Statement of Financial Position(Balance Sheet) As at 31st December 2020 ASSETS Current Assets Kshs' Kshs' Cash and Cash Equivalent 26,000 Investments 24,000 Prepaid Insurance Debtors 26,000 Less Provision for Doubtful Debts 26,000 Inventories(stock) 40,000 Total Current Assets 116,000 Non Current Assets Machinery Less:Accumulated Depreciation 10,000 10,000 Buildings 60,000 Less:Accumulated Depreciation - 60,000 Furniture 30,000 Less:Accumulated Depreciation -…
CC, PP and AA, accountants agree to form a partnership and to share profits in the ratio of 5:3:2. They also agreed that AA is to be allowed a salary of P28,000, and that PP is to be guaranteed P21,000 as his share of the profits, during the first operatioms, income from fees are P180,000, while expense total P96,000. What amount of net income should be credited to each partner's capital account?
X and Y PartnershipX and Y are in partnership and divide profits and losses in the ratio of 2:1 respectively. Z was admitted as a partner on 1 March 2020. The new profit-sharing ratio between X, Y and Z will be 4:2:1 respectively.X AND Y PARTNERSHIPSTATEMENT OF FINANCIAL POSITION AT 29 FEBRUARY 2020RASSETSNon-current assetsProperty, plant and equipment 60 000Current assets 180 000Inventories 88 000Trade and other receivables 52 000Cash and cash equivalents 40 000Total assets 240 000EQUITY AND LIABILITIESCapital & Reserves 200 000Capital X 127 500Capital Y 67 500General Reserve 5 000Current liabilitiesTrade and other payables 40 000Total equity and liabilities 240 000Additional information:For the purpose of the change in ownership the following agreement was reached:1. Provision would be made for credit losses at 10% of the outstanding (carrying) amount of the accounts receivable.2. Inventories would be valued at R90 000.3. Land and buildings would be valued at the market value of…
X and Y are partners sharing profits 6:4, respectively. Capital accounts as of October 1, 2021 are X-P 560,000; Y-P 480,000. They agree to admit Z as a new partner with an investment of P260,000 for a interest in the partnership and that the assets are fairly valued, what would be the capital of Y after the admission of Z?
4. X, Y, and Z have capital balances of P40,000.00, P50,000.00, and P18,000.00 and a profit – sharing ratio 4:2:1, respectively. If X received P8,000.00 upon liquidation of the partnership, the total amount received by partner Z was: a. P10,000.00 b. P 8,000.00 c. P34,000.00 d. P -0- 5. Assume the same facts in No. 4, above, except that X received P26,000.00 as a result of the liquidation. The total gain/loss on realization amounted to: a. P 3,500.00 b. P14,000.00 c. P 7,000.00 d. P24,500.00
Show Your Solutions 1) The following condensed Balance Sheet was prepared for Bi, Na, Ta partnership on March 31,200B: Cash P 30,000 Liabilities P 60,000 Other Assets P 190,000 Bi, Capital P 44,000 Na, Capital P 66,000 Ta, Capital P 50,000 P 220,000 P 220,000 The other assets were sold for P50,000. Profits are shared 4;4;2, for Bi, Na, and Ta, respectively. Bi is insolvent . The amount of cash received by Na was: 2) After the realization of non-cash assets, the following account balances appeared in the genera ledger of the partnership of See, Chap, and Pooh. Cash P 10,000 Liabilities 30,000 Pooh,Loan 5,000 See,Capital 15,000 Chap,Capital 10,000 Pooh,Capital 10,000 Profits are shared 2:4:4 for See, Chapand Pooh, respectively. Pooh is insolvent. How much was the loss on realization? 3) After realization…
X and Y PartnershipX and Y are in partnership and divide profits and losses in the ratio of 2:1 respectively. Z was admittedas a partner on 1 March 2020. The new profit-sharing ratio between X, Y and Z will be 4:2:1respectively.X AND Y PARTNERSHIPSTATEMENT OF FINANCIAL POSITION AT 29 FEBRUARY 2020RASSETSNon-current assetsProperty, plant and equipment 60 000COFA121 – Take-home Test 3 Paper S2 2020| V1.0 Page 6 of 11Current assets 180 000Inventories 88 000Trade and other receivables 52 000Cash and cash equivalents 40 000Total assets 240 000EQUITY AND LIABILITIESCapital & Reserves 200 000Capital X 127 500Capital Y 67 500General Reserve 5 000Current liabilitiesTrade and other payables 40 000Total equity and liabilities 240 000Additional information:For the purpose of the change in ownership the following agreement was reached:1. Provision would be made for credit losses at 10% of the outstanding (carrying) amount of theaccounts receivable.2. Inventories would be valued at R90 000.3.…