A B, and C have been partners for years and have been dividing the profits 2:3:3 with the following balances: DR: Cash 120,000 DR: AR 420,000 CR: ADA 25,000 DR: Inventory 580,000 DR: Vehicle 1000,000 CR: Accum. Dep'n 600,000 CR: Accounts Payable 595,000 CR: B Loan 100,000 CR: A, Capital 300,000 CR: B, Capital200,000 Cr. C, Capital 300,000 If at the first realization, P900,000 worth of net non-cash assets were sold for P480,000, how much should C receive using the Theoretical Loss Approach method? Oa 71,250 Ob. 5,000 OcO Od 35,625

Excel Applications for Accounting Principles
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ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Gaylord N. Smith
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A B, and C have been partners for years and have been dividing the profits 23:3 with the following balances:
DR: Cash 120,000
DR: AR 420,000
CR: ADA 25,000
DR: Inventory 580,000
DR: Vehicle ,000,000
CR: Accum. Dep'n 600,000
CR Accounts Payable 595,000
CR: B Loan 100,000
CR: A, Capital 300,000
CR: B, Capital200,000
Cr. C, Capital 300,000
If at the first realization, P900,000 worth of net non-cash assets were sold for P480,000, how much should C receive
using the Theoretical Loss Approach method?
Oa. 71,250
Ob. 5,000
OcO
Od 35,625
Next page
Transcribed Image Text:A B, and C have been partners for years and have been dividing the profits 23:3 with the following balances: DR: Cash 120,000 DR: AR 420,000 CR: ADA 25,000 DR: Inventory 580,000 DR: Vehicle ,000,000 CR: Accum. Dep'n 600,000 CR Accounts Payable 595,000 CR: B Loan 100,000 CR: A, Capital 300,000 CR: B, Capital200,000 Cr. C, Capital 300,000 If at the first realization, P900,000 worth of net non-cash assets were sold for P480,000, how much should C receive using the Theoretical Loss Approach method? Oa. 71,250 Ob. 5,000 OcO Od 35,625 Next page
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