Christian and Dior are partners, who share profits equally, were incapacitated due to a car accident. A liquidator was appointed to wind up their partnership. The balance sheet accounts are shown below: Cash- P 35,000 Liabilities P 19,000 Other Assets 110,000 72,000 Christian Capital -- Dior Capital -- 54,000 The liquidator anticipates that considerable time would be required to dispose all the assets. Liquidation expenses are estimated to be P 10,000. 25. At this time, the amounts of cash to be distributed safely to each partner are: a. Christian, P 5,000; Dior, P 1,000. b. Christian, P 6,000; Dior, P 0. C. Christian, P 15,000; Dior, P O. d. Christian, P 15,000; Dior, P 1,000.

Christian and Dior are partners, who share profits equally, were incapacitated due to a car accident. A liquidator was appointed to wind up their partnership. The balance sheet accounts are shown below: Cash- P 35,000 Liabilities P 19,000 Other Assets 110,000 72,000 Christian Capital -- Dior Capital -- 54,000 The liquidator anticipates that considerable time would be required to dispose all the assets. Liquidation expenses are estimated to be P 10,000. 25. At this time, the amounts of cash to be distributed safely to each partner are: a. Christian, P 5,000; Dior, P 1,000. b. Christian, P 6,000; Dior, P 0. C. Christian, P 15,000; Dior, P O. d. Christian, P 15,000; Dior, P 1,000.

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter7: Deductions And Losses: Certain Business Expenses And Losses

Section: Chapter Questions

Problem 38P

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