EXERCISE 4. Journal Entries - Cash, non-cash, and industry contributions. Prepar upload the journal entries to record contributions of Kim and Krislam into the partne under the following independent assumptions:

SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter14: Partnerships And Limited Liability Entities
Section: Chapter Questions
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2.
EXERCISE 4. Journal Entries - Cash, non-cash, and industry contributions. Prepare and
upload the journal entries to record contributions of Kim and Krislam into the partnership
under the following independent assumptions:
3.
Page
4.
9
Cash contribution amounting to P45,000 each.
Kim contributed P35,000 cash and a store equipment with carrying value of $27,000.
Krislam contributed P15,000 cash and a delivery vehicle with a fair market value of P195,000.
Kim and Krislam agreed that each depreciable asset is overvalued by $4,000.
Kim contributed P10,000 cash and furniture and fixtures with carrying value of P32,000.
Krislam contributed P5,000 cash and a building with a fair market value of P295,000 and an
unpaid mortgage of P27,500. Kim and Krislam agreed that building is undervalued by
P9,000.
Kim contributed P25,000 cash, a store equipment with fair market value of P47,000, and
delivery vehicle with a fair market value of P175,000. Krislam, an industrial partner, was to
contribute her expertise in marketing.
EXERCISE 5. Journal Entries and Statement Preparation Two existing sole
-
O
Transcribed Image Text:1. 2. EXERCISE 4. Journal Entries - Cash, non-cash, and industry contributions. Prepare and upload the journal entries to record contributions of Kim and Krislam into the partnership under the following independent assumptions: 3. Page 4. 9 Cash contribution amounting to P45,000 each. Kim contributed P35,000 cash and a store equipment with carrying value of $27,000. Krislam contributed P15,000 cash and a delivery vehicle with a fair market value of P195,000. Kim and Krislam agreed that each depreciable asset is overvalued by $4,000. Kim contributed P10,000 cash and furniture and fixtures with carrying value of P32,000. Krislam contributed P5,000 cash and a building with a fair market value of P295,000 and an unpaid mortgage of P27,500. Kim and Krislam agreed that building is undervalued by P9,000. Kim contributed P25,000 cash, a store equipment with fair market value of P47,000, and delivery vehicle with a fair market value of P175,000. Krislam, an industrial partner, was to contribute her expertise in marketing. EXERCISE 5. Journal Entries and Statement Preparation Two existing sole - O
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