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At December 31, Rod and Sol are partners with capital balances of P40,000 and P20,000, and they share profits and losses in the ratio of 2:1, respectively. On this date, Pete invests P17,000 cash for a one-fifth interest in the capital and profit of the new partnership. How much should be credited to Pete's capital account on December 31? * O P12,000 O P15,000 O P15,400 O P17,000

At December 31, Rod and Sol are partners with capital balances of P40,000 and P20,000, and they share profits and losses in the ratio of 2:1, respectively. On this date, Pete invests P17,000 cash for a one-fifth interest in the capital and profit of the new partnership. How much should be credited to Pete's capital account on December 31? * O P12,000 O P15,000 O P15,400 O P17,000

Accounting (Text Only)
Accounting (Text Only)
26th Edition
ISBN:9781285743615
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter12: Accounting For Partnerships And Limited Liability Companies
Section: Chapter Questions
Problem 12.3APE
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TNT a O ON 68% D 11:15 At December 31, Rod and Sol are partners with capital balances of P40,000 and P20,000, and they share profits and losses in the ratio of 2:1, respectively. On this date, Pete invests P17,000 cash for a one-fifth interest in the capital and profit of the new partnership. How much should be credited to Pete's capital account on December 31? * P12,000 P15,000 P15,400 O P17,000 June and July are partners who share profits and losses equally. The capital accounts of June and July have tripled in five years and at present have the following balances: June P90,000, and July P60,000.August desires to join the firm and offered to invest P50,000 for a one-third interest. June and July declined his
Transcribed Image Text:TNT a O ON 68% D 11:15 At December 31, Rod and Sol are partners with capital balances of P40,000 and P20,000, and they share profits and losses in the ratio of 2:1, respectively. On this date, Pete invests P17,000 cash for a one-fifth interest in the capital and profit of the new partnership. How much should be credited to Pete's capital account on December 31? * P12,000 P15,000 P15,400 O P17,000 June and July are partners who share profits and losses equally. The capital accounts of June and July have tripled in five years and at present have the following balances: June P90,000, and July P60,000.August desires to join the firm and offered to invest P50,000 for a one-third interest. June and July declined his
TNT a O ON 68% 11:16 June and July are partners who share profits and losses equally. The capital accounts of June and July have tripled in five years and at present have the following balances: June P90,000, and July P60,000.August desires to join the firm and offered to invest P50,000 for a one-third interest. June and July declined his offer but they extended a counter- offer to August of P70,000 for a one- fourth interest in the capital and profits and losses of the firm. If August accepted the offer, what should be the balances in the capital accounts of June and July after August's admission, respectively. * P100,000; P70,000 P120,000; P90,000 P97,500; P67,500 O P90,000; P60,000 Вack Next Never submit passwords through Gooale Forms.
Transcribed Image Text:TNT a O ON 68% 11:16 June and July are partners who share profits and losses equally. The capital accounts of June and July have tripled in five years and at present have the following balances: June P90,000, and July P60,000.August desires to join the firm and offered to invest P50,000 for a one-third interest. June and July declined his offer but they extended a counter- offer to August of P70,000 for a one- fourth interest in the capital and profits and losses of the firm. If August accepted the offer, what should be the balances in the capital accounts of June and July after August's admission, respectively. * P100,000; P70,000 P120,000; P90,000 P97,500; P67,500 O P90,000; P60,000 Вack Next Never submit passwords through Gooale Forms.
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