On Demeber 31, 20x20, the Statement of Financial Position of ABC Partnership with profit or loss ratio of 5:3:2 of respective partners. Noncash assets with a carrying amount P1,000,000 were sold ata gain of P100,000.Liquidation expenses for the month of January amounting toP50,000 were paid.It is estimated that liquidation expenses amounting to P150,000will be incurred for the month of February, 20x21.• 20% of the liabilities to third persons were settled.Available cash was distributed to the partners.As of February 28, 20x21, the following transactions occurred:Remaining noncash assets were sold at a loss of P100,000.• The final liquidation expenses for the month of Februaryamounted to P100,000.The remaining liabilities to third persons were settled.Remaining cash was finally distributed to the partners.How much is the amount of total cash withheld on January 31,20x21? prdings - UnOn December 31, 20x20, the Statement of Financial Position of ABCPartnership with profit or loss ratio of 5:3:2 of respective partners A,B and C showed the following information:CashP1,600,000Total liabilitiesP2,000,000Noncash assets 1,400,000A, Capital100,000B, Capital500,000C, Capital400,000On January 1, 20x21, the partners decided to liquidate thepartnership in installment. All partners are legally declared to bepersonally insolvent.As of January 31, 20x21, the following transactions occurred:Noncash assets with a carrying amount P1,000,000 were sold ata gain of P100,000.

ABC Partnership Proposed Schedule of Liquidation January 31.…

Answered: On December 31, 20x20, the Statement of…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Use the following information for the next three questions:The ledger of COLTISH UNDISCIPLINED Co. in 20x1 includes the following:Jan. 1, 20x1 Dec. 31, 20x1Current assets 1,200,000 ? Noncurrent assets 4,000,000 ? Current liabilities 900,000 1,000,000Noncurrent liabilities ? 3,000,000 Additional information:- COLTISH’s working capital as of December 31, 20x1 is twice as much as the working capital as of January 1, 20x1. - Total equity as of January 1, 20x1 is ₱1,700,000. Profit for the year is ₱2,400,000 while dividends declared amounted to ₱1,000,000. There were no other changes in equity during the year.How much is the total noncurrent liabilities as of January 1, 20x1?a. 2,600,000b. 2,800,000c. 3,200,000d. 3,400,000
Use the following information for the next three questions:The ledger of COLTISH UNDISCIPLINED Co. in 20x1 includes the following:Jan. 1, 20x1 Dec. 31, 20x1Current assets 1,200,000 ?Noncurrent assets 4,000,000 ?Current liabilities 900,000 1,000,000Noncurrent liabilities ? 3,000,000 Additional information:- COLTISH’s working capital as of December 31, 20x1 is twice as much as the working capital as of January 1, 20x1.- Total equity as of January 1, 20x1 is ₱1,700,000. Profit for the year is ₱2,400,000 while dividends declared amounted to ₱1,000,000. There were no other changes in equity during the year. How much is the total current assets as of December 31, 20x1?a. 1,600,000b. 800,000c. 300,000d. 2,200,000
Present in good accounting form AAA, BBB, and CCC are partners sharing profits and losses in the ratio of 5:3:2. During the year their investments and withdrawals are as follows: Investment of AAA, BBB and CCC for P200,000, P175,000 and P375,000 respectively. Withdrawals of AAA, BBB and CCC amounting to P125,000, P62,500 and P62,500 respectively. On December 31, 2021, the partners decided to liquidate their business. After exhausting partnership assets, liabilities of P125,000 remain unpaid. AAA is personally insolvent. The gain or loss on realization is: a. -125,000 b. 625,000 c. -625,000 d. 125,000
Alfa Company is liquidating. It has the following account balances: Cash $5,000, Non-cash assets $60,000, Liability $31,000, A Capital $15,000, B Capital $17,800, and C Capital $1,200. The company sold its non-cash assets for $84,000 and the income ratios of the partners are 3:2:1 respectively. The balance of C, Capital after paying liabilities is: (Show your calculation)
Partners Ong, Rodriguez, Pamittan and Reyes who share profits andlosses at 30%, 30%, 20% and 20%, respectively, decided to liquidate. Allpartnership assets are to be converted into cash. Before liquidation, thecondensed statement of financial position follows:Cash P100, 000 Liabilities P750, 000Other Assets 1, 800, 000 Rodriguez, Loan 60, 000Reyes, Loan 50, 000Ong, Capital 420, 000Rodriguez, Capital 315, 000Pamittan, Capital 205, 000Reyes, Capital 100, 000Total P1, 900,000P1, 900,000The non-cash assets realized P800, 000, resulting to a loss of P1, 000,000. All the partners are solvent, and can contribute any additional cash tocover any deficiency. In the process of liquidation, deficiencies will occur andwill require additional investment as follows:a. Pamittan at P7, 500b. Reyes at P50, 000c. Reyes and Pamittan for P50, 000 and P7, 500, respectivelyd. None
On January 1, 20X0, Station invested P2,000,000 cash in a joint venture for 50% interest. For the years ended December 31, 20X0, 20X1, and 20X2, the joint venture reported the following data: Year Net Income (Net Loss) Dividend Distribution 20X0 P1,000,000 P300,000 20X1 (6,000,000) - 20X2 7,000,000 500,000 Determine the following: Share in net loss or investment to be reported by Station for the year ended December 31, 20X1. The book value of Investment in Joint venture to be reported by Station as of December 31, 20X2.
The following is the statement of financial position of PQR sharing profits and losses in the ratio of 3:2:1 as on 31st Dec 2010 Liabilities RO Assets RO Creditors Outstanding Expenses Bills Payable Capitals: P 28,000 Q 20,000 R 30,000 25,800 200 6,000 78,000 110,000 Cash Debtor and Stock Furniture Computer Building Patents 8,000 42,000 15,000 10,000 30,000 5,000 110,000 They admit S into the partnership on the following terms: - 1. The value of computer reduced by 10% 2. A part of value of Patents for RO 1000 became useless and it has to be reduced. 3. Buildings to be revalued at RO 55,000 4. Furniture was depreciated by 10% 5. S shall bring RO 25,000 as capital for ¼ share of future profits a) Calculate New Profit Sharing Ratio and Sacrificing Ratio b) Prepare Revaluation Account, Partner’s Capital Account and redraft the Statement of financial position after the admission.
The following is the statement of financial position of PQR sharing profits and losses in the ratio of 3:2:1 as on 31st Dec 2010 Liabilities RO Assets RO Creditors Outstanding Expenses Bills Payable Capitals: P 28,000 Q 20,000 R 30,000 25,800 200 6,000 78,000 110,000 Cash Debtor and Stock Furniture Computer Building Patents 8,000 42,000 15,000 10,000 30,000 5,000 110,000 They admit S into the partnership on the following terms: - 1. The value of computer reduced by 10% 2. A part of value of Patents for RO 1000 became useless and it has to be reduced. 3. Buildings to be revalued at RO 55,000 4. Furniture was depreciated by 10% 5. S shall bring RO 25,000 as capital for ¼ share of future profits a) Calculate New Profit Sharing Ratio and Sacrificing Ratio b) Prepare Revaluation Account, Partner’s Capital Account and redraft the Statement of financial position after the admission. Answer: Revaluation Account…
Sa, Nah, Pasa formed a joint operation. Sa is to act as managing joint operator and is designated to record the joint operation accounts in his books. As manager, he is allowed a salary of P12,000. Remaining profit (loss) is to be divided equally.The following balances appear at the end of 20x0 before adjustments for joint operation’s inventory and profits. Joint operations cash (dr), 51,000; Nah, capital (dr), 6,000; Pasa capital (cr), 30,000. The arrangement is to terminate on December 31, 2020 with unsold merchandise costing P13,000. Assuming that the joint operations loss is P1,000, what is the balance of the Joint Operation’s account before the distribution of profit?
Computational (Show your computations. Round off as follows: e.g. ₩10.64=> ₩11, 0.123456 => 12.35%, 2.4321 => 2.43) . KG Co. had total assets of ₩1,200,000, total liabilities of ₩500,000, and retainedearnings of ₩300,000 at the beginning of 20x1. For the year, the corporationdeclared cash dividends of ₩50,000. At the end of the year, the company hadtotal assets of ₩1,400,000 and showed the debt ratio of 0.4. The company hadno accumulated other comprehensive income.1) Compute the total stockholders’ equity at the end of 20x1. 2) Compute KG’s net profit for 20x1, assuming no change in contributed capitalduring the year
A and B are partners in the ratio of 2:3.Thier balance sheet shows machienery at 400000,stock at 160000 and debtors at 320000,c is admitted and new profit sharing ratio is agreed at 6:9;5. Machinery is revalued at 340000 and a provition is made for doubful debts @25%. A share in loss on revaluation amount to 20000. Revalued value of stock will be
E.F. Lynch Company is a diversified investment company with three operating divisions organized as investment centers. Condensed data taken from the records of the three divisions for the year ended June 30, 20Y8, are as follows: Mutual FundDivision ElectronicBrokerageDivision InvestmentBankingDivision Fee revenue $1,360,000 $1,440,000 $1,330,000 Operating expenses 660,000 608,400 941,200 Invested assets 5,000,000 4,200,000 2,700,000 The management of E.F. Lynch Company is evaluating each division as a basis for planning a future expansion of operations. Required: Question Content Area 1. Prepare condensed divisional income statements for the three divisions, assuming that there were no support department allocations. E.F. Lynch CompanyDivisional Income StatementsFor the Year Ended June 30, 20Y8 MutualFundDivision ElectronicBrokerageDivision InvestmentBankingDivision Fee revenue Operating expenses Operating income…

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