Orange and Lemon share profits and losses equally. They decided to liquidate their partnership when their net assets amounted to P 260,000. Capital balances were P 170,000 and P 90,000, respectively. If the non-cash assets were sold for an amount equal to book value, what amount of cash should Orange and Lemon respectively received? E.
Orange and Lemon share profits and losses equally. They decided to liquidate their partnership when their net assets amounted to P 260,000. Capital balances were P 170,000 and P 90,000, respectively. If the non-cash assets were sold for an amount equal to book value, what amount of cash should Orange and Lemon respectively received? E.
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter18: Comparative Forms Of Doing Business
Section: Chapter Questions
Problem 38P
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Transcribed Image Text:E.
Orange and Lemon share profits and losses equally. They decided to liquidate their partnership
when their net assets amounted to P 260,000. Capital balances were P 170,000 and P 90,000,
respectively. If the non-cash assets were sold for an amount equal to book value, what amount of
cash should Orange and Lemon respectively received?
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