B is to invest sufficient cash to obtain a 1/4 interest in the Partnership. Determine the amount of cash investment by Partner B.
Q: Requirements: Compute the total liabilities after formation
A: 1 Provide 2% allowance for doubtful accounts P Q Accounts…
Q: On January 02, 2019, the business assets and liabilities of Gail Anne & Precious were as…
A: Capital = Assets-Liabilities
Q: Kwong and Morales entered into a partnership as at Mar. 1, 2019 by the investing P125,000 and…
A: Statement of partner's capital reports the changes in the capital accounts during an accounting…
Q: On April 30, 2021, AAA admits BBB for an interest in his business. On this date, AAA's capital…
A: Capital contribution by new partner: A capital contribution is a sum of money or assets donated to a…
Q: On March 1, 2020, EE and FF decided to combine their business and form a partnership. Their balance…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. If you want…
Q: A admits B as partner in business. Accounts in the ledger for A on October 31, 2020, just before the…
A: Solution: Fair value of Net Asset of A on admission of B Particulars Amount Cash…
Q: January 1, 2020, A and B have capital balances of P 200,000 and P 300,000 respectively. On July…
A: Ending capital of A = P200,000 + P10,000 = P210,000 Ending capital of B = P300,000 - P11,600 =…
Q: ee are partners, sharing earnings in the ratio of 3:4:6: accounts on December 31, 2019 are as…
A: Given as, Bench- P 1,000 Mark- P 25,000 Spencer- P 25,000 Lee- P 9,000
Q: On January 1, 2020, Lim and Pan decided to form a partnership. At the end of the year, the…
A: Here in this question, we are required to find out how much net income is attributable to each of…
Q: . X invited Y to a partnership interest in his business. Accounts in the ledger of X on January 1,…
A: Calculation of Adjusted Capital of Y X as contributed P 1,175,200 for 2/3 share. Therefore, total…
Q: Sameer, Hani, and Ali are partners in SHA Partnership. On 1/1/ 2021, they decide to liquidat their…
A: Liquidation is the process by which a business or organization comes to an end and is formally…
Q: On July 1, 2019, Jun, Mar and Roy decided to liquidate their partnership. Prior to liquidation, the…
A: NOTE : As per BARTLEBY guidelines, when multiple questions are given then first question is to be…
Q: X invited Y to a partnership interest in his business. Accounts in theledger of X on January 1,…
A: The adjusted capital of X will be equal to the Fair value of Assets less value of liabilities. The…
Q: Dasal, Kho, Papasa, and Akho are partners sharing earnings in the ratio of 4:5:4:7. The balance of…
A: Partnership is a form of business in which partners agree to share profit and losses as per agreed…
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: Adjustment as the time of introduction of a partner is to be adjusted with fair values of the asset…
Q: Determine the amount realized from the sale of non-cash assets. 10.Determine the amount received by…
A: On December 31, 2021, the GAR Partnership of Garry, Aubrey and Rolly is liquidated due to…
Q: Dino, Doods, and Dong have the following accounts and their normal balances on January 31, 2021, the…
A: Limited partner is that partner whose liability is limited to its share of capital invested in the…
Q: On April 30, 2021, AAA admits BBB for an interest in his business. On this date, AAA's capital…
A: Admission of the partner is the process where the person is added to the business of partnership on…
Q: lizabeth, Arden and Hugo are partners sharing profits in the ratio 3:2:1, respectively. Capital…
A: Solution: When a partner is retired from partnership, amount paid in excess of his balance to…
Q: Adee admitted Das as a partner in a business. The balance sheet of Adee on July 30, 2019 before the…
A: The question is related to Partnership Accounting. The question is of admission of a patner for 1/3…
Q: 1. On July 1, 2021, Jungkook admits Jimin for an interest in her business. On this date, Jungkook's…
A: Given, Accounts receivable is P500,000 Collectible is 20% Unearned interest is P24,000 Increase in…
Q: Z admits A as a partner in business. Accounts in the ledger for Z on November 20, 2018, just before…
A: In a partnership, two or more parties agree to operate and manage a business and share the profits…
Q: Blake Kredell owns and operates a retail business called Blake's Camera Shop. His post closing trial…
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: As of June 30, 2020, Kagura and Hayabusa decided to form a Partnership. Their balance sheet on this…
A: A partnership is one of the business forms of an organization. This is an association or agreement…
Q: In January 2019, the events took place during the process of liquidating the partnership: Jan. 6…
A: Liquidating of partnership journal entries : In January 2019, Jan 6 - Accounts receivable collected…
Q: On March 1, 2020, P and Q decided to combine their business and form a partnership. Their balance…
A: Fixed Assets- Fixed assets are assets that cannot be quickly changed into cash. Rather, they are…
Q: Finnegan and Healey form a partnership on January 1, 2024, contributing $60,000 and $19,000,…
A: A partnership is an agreement or association between two or more persons, in which they invest their…
Q: Mr. A and Mr. B start a business on 01st May,2021, with capital of 2,500,000 and 300,000. According…
A:
Q: On April 30, 2021, AAA admits BBB for an interest in his business. On this date, AAA's capital…
A: Working Note BBB share's in partnership = 1/3 Existing capital of AAA partnership firm = 158400…
Q: I lay admits K. Kho as a partner in his business. Accounts in the ledger of Jay on December 31,2019.…
A: Working note: Computation of cash invested by K. Kho in the partnership:
Q: X invited Y to a partnership interest in his business. Accounts in the ledger of X on January 1,…
A: On Admission of a new partner or on formation of a new partnership firm, the Assets to be brought in…
Q: On May 13, 2022, Quimby decided to leave the partnership in order to resume his political career.…
A: Journal entries shows the recording of transactions during an accounting year and every transaction…
Q: A admits B as a partner in business. Accounts in ledger for A on October 31, 2021, just before the…
A: The partnership comes into existence when two or more persons agree to do the business and share…
Q: Sameer, Hani, and Ali are partners in SHA Partnership. On 1/1/ 2021, they decide to liquidate their…
A: Liquidation of partnership refers to a process by which a partnership firm comes to an end. The…
Q: The statement of financial position May Partnership on December 31, 2020 is given below: Cash…
A: In a partnership, two or more parties agree to operate and manage a business and share the profits…
Q: The partnership business of John Estrada and Peter Arroyo was formed on January 2, 2020. At that…
A: Adjusted capital contribution is a term defined in partnership accounting which means Total…
Q: Lawler and Riello formed a partnership on March 15, 2024. The partners agreed to contribute equal…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: In January 1, 2020, A and B have capital balances of P 200,000 and P 300,000 respectively. On July…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: Bau and Robi are partners who share profits and losses in the ratio of 6:4, respectively. On May 1,…
A: answer are as follows
Q: On April 30, 2021, AAA admits BBB for an interest in his business. On this date, AAA's capital…
A: The determination of amount of cash to be invested by BBB is shown hereunder : Capital balance of…
Q: What is the adjusted balance of your capital account if the notes payable is stated at face amount.…
A: Value of Notes Payable = Face Value x Present Value Factor @ 10% (3rd Year)
Q: What is the capital of Jungkook after the adjustments? * A Þn June 1, 2021, Jungkook and Jimin…
A: If a partnership firm is formed by merger of two businesses carried on by sole proprietors, for the…
Q: Red, White and Blue are partners in a business, and in its profits at the respective ratio of 5:3:2.…
A: Revaluation A/c Particulars Amount Particulars Amount To decrease in the market value of…
Q: Z admits A as a partner in business. Accounts in the ledger for Z on November 20, 2018, just before…
A: (a) Revaluation Account : (b) Capital after Revaluation :
Q: uired: a. Prepare journal entries necessary to open the records of the partnership.
A: Journal entry: Journal entry is the book of original entry where first transactions are recorded in…
Q: As of June 30, 2020, Kagura and Hayabusa decided to form a Partnership. Their balance sheet on this…
A:
Q: Kwong and Morales entered into a partnership as at Mar. 1, 2019 by the investing P125,000 and…
A: In a partnership, two or more parties agree to operate and manage a business and share the profits…
Q: A admits B as partner in business. Accounts in the ledger for A on October 31, 2020, just before the…
A: The partnership comes into existence when two or more persons agree to do the business and share…
Q: Holden admits Jane for partnership interest in his business. The balance sheet accounts of Holden on…
A: Investment by Jane = P115,000 Interest of jane = 1/3
A admits B as partner in business. Accounts in the ledger for A on October 31, 2020, just before the admission of B show the following balances:
Cash: P50,000
Accounts receivable: 110,000
Notes receivable: 20,000
Inventories: 50,000
Accounts payable: 30,000
It is agreed that for the purposes of establishing A's interest, the following adjustments shall be made:
- An allowance for doubtful accounts of 5% of accounts receivable is to be established.
- An inventory amounting to P10,000 is worthless.
- Prepaid expenses of P1,000 and accrued expense of P2,000 are to be recognized.
- An interest of 10% on notes receivable amounting P10,000 dated April 30, 2020 is to be accrued.
B is to invest sufficient cash to obtain a 1/4 interest in the
Determine the amount of cash investment by Partner B.
![](/static/compass_v2/shared-icons/check-mark.png)
Step by step
Solved in 4 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
- A admits B as partner in business. Accounts in the ledger for A on October 31, 2020, just before the admission of B show the following balances: Cash: P50,000 Accounts receivable: 110,000 Notes receivable: 20,000 Inventories: 50,000 Accounts payable: 30,000 It is agreed that for the purposes of establishing A's interest, the following adjustments shall be made: • An allowance for doubtful accounts of 5% of accounts receivable is to be established. o An inventory amounting to P10,000 is worthless. • Prepaid expenses of P1,000 and accrued expense of P2,000 are to be recognized. • An interest of 10% on notes receivable amounting P10,000 dated April 30, 2020 is to be accrued. B is to invest sufficient cash to obtain a 1/4 interest in the Partnership. Determine the amount of cash investment by Partner B.Z admits A as a partner in business. Accounts in the ledger for Z on November 20, 2018, just before the admission of A, show the following balances: Cash P 6,800Accounts Receivable 14,200Merchandise Inventory 20,000Prepaid expense 1,000Accounts Payable 9,000Z, Capital 33,000 It is agreed that the purposes of establishing Z's interest the following adjustments shall be made:a) An allowance for doubtful accounts of 3% of accounts receivable is to be establishedb) The merchandise inventory is to be valued at P23,000.c) Prepaid salary expenses of P600 and accrued rent expense of P800 are to be recognized. A is to invest sufficient cash to obtain a 1/3 interest in the partnership.(1) Z's adjusted capital before…A admits B as a partner in business. Accounts in ledger for A on October 31, 2021, just before the admission of B show the following balances: Cash: 50,000 Accounts Receivable: 110,000 Notes Receivable: 20,000 Inventories: 50,000 Accounts Payable: 30,000 It is agreed that for the purposes of establishing A's interest, the following adjustments shall be made: An allowance for doubtful accounts of 5% of accounts receivable is to be established. An inventory amounting to 10,000 is worthless. Prepaid expenses of 1,000 and accrued expense of 2,000 are to be recognied. An interest of 10% on notes receivable amounting 10,000 dated April 30,2020 is to be accrued. B is to invest sufficient cash to obtain a 1/4 interest in the partnership. Determine the amount of cash investment by Partner B.
- October 1, 2019, Deku and Dabi decided to pool their assets and form a partnership. The firm is to take over the business assets and assume business liabilities; equities are to be based on net assets transferred after the following adjustments: a. Dabi's inventory is to be valued at P350,000 b. An allowance for uncollectible accounts of P9,000 and P7,500, respectively should be set up. c. Accrued expenses of P21,000 are to be recognized on Deku's books. d. Dabi is to contribute sufficient cash to give him 60% interest in the new firm Statements of financial position for Deku and Dabi in October 1 before adjustments are presented below: Cash Accounts receivable Merchandise inventory Equipment Accum. Depr. - Equip. Total assets Accounts payable Capital Total liabilities and capital Instructions: Dabi Deku 187,500 112,500 450,000 375,000 400,000 300,000 250,000 300,000 (112,500) (37,500) 1,175,000 1,050,000 345,000 830,000 1,175,000 250,000 800,000 1,050,000 1. Give the entries to adjust…Z admits A as a partner in business. Accounts in the ledger for Z on November 20, 2018, just before the admission of A, show the following balances: Cash Accounts Receivable Merchandise Inventory Prepaid expense Accounts Payable Z, Capital P 6,800 14,200 20,000 1,000 9,000 33,000 It is agreed that the purposes of establishing Z's interest the following adjustments shall be made: a) An allowance for doubtful accounts of 3% of accounts receivable is to be established b) The merchandise inventory is to be valued at P23,000. c) Prepaid salary expenses of P600 and accrued rent expense of P800 are to be recognized. A is to invest sufficient cash to obtain a 1/3 interest in the partnership. (1) Z's adjusted capital before the admission of A; and (2) the amount cash investment by A:Y admits Z for a partnership in his business. The balance sheet accounts of Y on November 30, 2023 prior to admission of Z are as follows: DR CR Cash ? Accounts receivable 336,000 Inventory 504,000 Accounts Payable 173,600 Y, capital ? It is agreed that for purpose of establishing Y’s interest, the following adjustments should be made: An allowance for doubtful accounts of 2% of accounts receivable is to be established The inventory is to be valued at P560,000 Prepaid expenses of 18,200 and accrued expenses of 11,200 are to be recognized. Y invested cash of 397,740 to give him 1/3 interest in the total capital of the firm. What is the capital balance of Y before admission of Z? (ANSWER IS 739,200 I need solution.)
- On March 1, 2020, EE and FF decided to combine their business and form a partnership. Their balance sheets onMarch 1 before adjustments showed the following: 1. Compute the net (debit)/credit adjustment for EE anf FF. EE FF EE FFA. 28,700 ; 28,200 C. (8,700) ; 1,800B. (28,700) ; (28,200) D. 8,700 ; (1,800) 2. Compute the total assets after the formation.A. 1,607,650 C. 1,579,850B. 1,570,850 D. 1,568,750 3. If the partners are to share profits and losses in the ratio of 6:4 and their capital is top reflect this relationship, what is the capital of FF after the formation?A. 400,000 C. 369,740B. 391,700 D. 391,700 4. If If the partners are to share profits and losses in the ratio of 6:4 and their capital is top reflect this relationship with EE’s capital to be used as a basis, what is the capital of FF after the formation?A. 400,000 C. 369,740B. 391,700 D. 391,700On October 1, 2020, an entity borrowed cash and signed a three-year interest bearing note on which both the principal and interest are payable on October 1, 2023. On December 31, 2021, accrued interest payable should A. not be reported as a liabilityB. be reported as current liabilityC. be reported as noncurrent liabilityD. be reported as part of noncurrent note payable2. Amion admits Basa for a partnership interest in his business. The balance sheet accounts of Amion on November 30, 2020 prior to the admission of Basa are as follows: Debit Credit Cash 312,000 Merchandise inventory 468,000 Accounts receivable Accounts payable P161,200 Amion, capital
- On March 1, 2018, X and Y formed a partnership. The partners contributed the following: (see attached image) The partners agree on the following:a. P10,000 of the accounts receivable of X is to be written-off.b. An allowance for doubtful accounts of 15% is to be established on the remaining receivables of X and Y.c. The inventory of Y is to be valued at P140,000.d. The equipment of X is under depreciated by P20,000 and the equipment of Y has a fair value of P190,000.e. The note of X is dated December 1, 2017 and is subject to a 12% interest. Interest had not yet been accrued.f. The partners agree on a 2:1 profit and loss ratio.g. The partners agree to bring their capital balance proportionate to their profit and loss ratio.Requirement:1. If Y's Capital is to be used as basis, how much is the adjusted capital of X after the formation? 2. What is the total assets of the partnership immediately after the formation?3. If the goodwill method is to be used in determining the capital of each…1. A salary allowance of RM20,000 to Kalmia and RM50,000 to Wardah.2. The remainder is to be divided equally. a) Prepare a schedule which shows the division of net income to each partner.b) Prepare the closing entries for the division of net income and for the drawingaccounts at 31 December, 2020.Maria admits Daisy as a partner in the business. Financial position accounts of Maria on September 30, just before admission of Daisy show: Cash, P52,000; Accounts Receivable, P240,000; Merchandise Inventory, P360,000; Accounts Payable of P124,000. It is agreed that for purposes of establishing Maria’s interest, the following adjustments shall be made: (1) An allowance for doubtful accounts of 3% is to be established (2) Merchandise inventory is to be adjusted upward by P50,000 and (3) Prepaid expenses of P7,000 and accrued liabilities of P8,000 are to be recognized. Daisy is to invest sufficient cash to obtain 2/5 interest in the partnership. How much is the total capital of the partnership after dissolution
![Individual Income Taxes](https://www.bartleby.com/isbn_cover_images/9780357109731/9780357109731_smallCoverImage.gif)
![Financial Accounting](https://www.bartleby.com/isbn_cover_images/9781305088436/9781305088436_smallCoverImage.gif)
![Individual Income Taxes](https://www.bartleby.com/isbn_cover_images/9780357109731/9780357109731_smallCoverImage.gif)
![Financial Accounting](https://www.bartleby.com/isbn_cover_images/9781305088436/9781305088436_smallCoverImage.gif)