Chow and King are partners who share profits and losses in a ratio of 4:3, respectively. They have the following capital balances on October 31, 2021: Chow, Capital King, Capital P300,000 P 550,000 The partners agreed to admit Arthur to the Partnership. Arthur Invested P400,000 for 25% of his interest in the partnership. What is the capital balance of Partner Arthur after admission? A) 550,000 350,000 c) 400,000 D) 312,500
Chow and King are partners who share profits and losses in a ratio of 4:3, respectively. They have the following capital balances on October 31, 2021: Chow, Capital King, Capital P300,000 P 550,000 The partners agreed to admit Arthur to the Partnership. Arthur Invested P400,000 for 25% of his interest in the partnership. What is the capital balance of Partner Arthur after admission? A) 550,000 350,000 c) 400,000 D) 312,500
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...
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What are the answers on questions 5,6,7 and 8?
Transcribed Image Text:5 Chow and King are partners who share profits and losses in a ratio of 4:3, respectively. They
have the following capital balances on October 31, 2021:
Chow, Capital
King, Capital
P 550,000
P300,000
The partners agreed to admit Arthur to the Partnership. Arthur Invested P400,000 for 25% of his
interest in the partnership. What is the capital balance of Partner Arthur after admission?
A) 550,000
350,000
C
400,000
D) 312,500
6 Partners Mcdo and Jobbe have capital balances ofP150,000
and P45,000 and share income in a ratio of 5:2 respectively.
Greenwich is to be admitted into the partnership with a 20%
interest in the business.
Total capital will be P267,000. What is the capital balance of
Greenwich after admission?
A 53,400
B) 72,000
C) 60,000
D) 40,000
Transcribed Image Text:7 Partners Mcdo and Jobbe have capital balances ofP150,000
and P45,000 and share income in a ratio of 5:2 respectively.
Greenwich is to be admitted into the partnership with a 25%
interest in the business.
What is the capital balance of Greenwich after admission?
A) 48,750
B) 89,000
35,000
54,000
On June 30, 2021, the statement of financial position of Meycauyan Marketing, a partnership, is
8 summarized as follows:
Assets
P600,000
Orosco, Capital
De Guzman, Capital
360,000
240,000
Orozco and De Guzman share profit and losses at a 6:4 ratio, respectively. They agreed to take
in Gener Castillo as a new partner, who purchased 1/8 interest of Orosco and De Guzman for
P100,000. What is the amount of Gener Castillo's capital to be taken up in the partnership
books?
A) 75,000
В
50,000
100,000
D
125,000
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