May, Jun, and Julie are partners with profit and loss ratio of 2:2:1 and capital balances of $1,200,000, P1,000,000 and $600,000, respectively. Julie decided to withdraw from the partnership to focus on her coffee business. She was paid P1,000,000 by the partnership for her capital interest. The difference in amount is due to the recognition of bonus. How much is the capital balance of May after the withdrawal of Julie?

May, Jun, and Julie are partners with profit and loss ratio of 2:2:1 and capital balances of $1,200,000, P1,000,000 and $600,000, respectively. Julie decided to withdraw from the partnership to focus on her coffee business. She was paid P1,000,000 by the partnership for her capital interest. The difference in amount is due to the recognition of bonus. How much is the capital balance of May after the withdrawal of Julie?

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter11: Partnerships: Distributions, Transfer Of Interests, And Terminations

Section: Chapter Questions

Problem 31P

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