Partners AIL and Charish capital is 480,000 and 520,000, respectively. They share profit or loss equally in their merchandising business. After admitting BLAIRE, they agreed to have a total capital of P2,500,000. The new partner invested P500,000 for 30% interest in the business. Questions: 6. What is the capital of AIL and Charish after admitting BLAIRE? 7. What is the capital of BLAIRE after admission? 8. How much is the amount of Bonus to or (from) Charish? 9. How much is the amount of revaluation credited to AIL?

Partners AIL and Charish capital is 480,000 and 520,000, respectively. They share profit or loss equally in their merchandising business. After admitting BLAIRE, they agreed to have a total capital of P2,500,000. The new partner invested P500,000 for 30% interest in the business. Questions: 6. What is the capital of AIL and Charish after admitting BLAIRE? 7. What is the capital of BLAIRE after admission? 8. How much is the amount of Bonus to or (from) Charish? 9. How much is the amount of revaluation credited to AIL?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter15: Partnership Accounting

Section: Chapter Questions

Problem 11MC: Thandie and Marco are partners with capital balances of $60,000. They share profits and losses at...

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The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after Tatum receives a 10,000 salary and Brook receives a 15,000 salary. Prepare a schedule showing how the profit and loss should be divided, assuming the profit or loss for the year is: A. $40,000 B. $25,000 C. ($5,000) In addition, show the resulting entries to each partners capital account. Tatums capital account balance is $50,000 and Brooks is $60,000.
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