in partnership business with Michael Auditor. The Statement of Financial Position of John Mark Cadua who has been in business for a quite long time has decided to venture Cadua prior to the inception of the partnership revealed the folļowing balances P 85,000 60,000 Cash Accounts Receivable Allowance for Doubtful Accounts 4,000 120,000 150,000 30,000 80,000 Merchandise Equipment Acc. Depreciation-Equipment Accounts Payable J. Cadua, Capital As agreed, Auditor will contribute cash equal to one-half (1/2) of the capital balance. Cadua after taking into account the following adjustments: a. The allowance for doubtful accounts is over set-up by P3,000. b. Merchandise should be valued at P105,000 due to obsolescence. c. The equipment is under depreciated by P15,000. d. Accounts Payable was overstated by P4,000 due to recording of an expense. Reguired.
in partnership business with Michael Auditor. The Statement of Financial Position of John Mark Cadua who has been in business for a quite long time has decided to venture Cadua prior to the inception of the partnership revealed the folļowing balances P 85,000 60,000 Cash Accounts Receivable Allowance for Doubtful Accounts 4,000 120,000 150,000 30,000 80,000 Merchandise Equipment Acc. Depreciation-Equipment Accounts Payable J. Cadua, Capital As agreed, Auditor will contribute cash equal to one-half (1/2) of the capital balance. Cadua after taking into account the following adjustments: a. The allowance for doubtful accounts is over set-up by P3,000. b. Merchandise should be valued at P105,000 due to obsolescence. c. The equipment is under depreciated by P15,000. d. Accounts Payable was overstated by P4,000 due to recording of an expense. Reguired.
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter12: Accounting For Partnerships And Limited Liability Companies
Section: Chapter Questions
Problem 4PB
Related questions
Question
Need the continuation of answers for numbers 4-5.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 4 steps with 3 images
Recommended textbooks for you
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning