Partners Harris, Hubert and Hamish, who share profits and losses in the ratio of 3:5:2 respectively, have decided to liquidate their partnership. At the time of liquidation, the balance sheet of the partnership consisted the following: P 80,000 240.,000 Cash Other assets TOTAL ASSETS P320,000 P62,000 20,000 72,000 80,000 Liabilities Payable to Hubert Harris, Capital Hubert, Capital Hamish, Capital 86.000 TOTAL LIAB. AND CAPITAL 2320,000 The partners desire to prepare a cash priority program showing how cash would be distributed to partners as assets are re alized. 8. Using the information in number 7 and assuming the first sale of other assets with a book value of 100,000 re alized 30,000, and all available cash is distributed, the respective partner's would receive
Partners Harris, Hubert and Hamish, who share profits and losses in the ratio of 3:5:2 respectively, have decided to liquidate their partnership. At the time of liquidation, the balance sheet of the partnership consisted the following: P 80,000 240.,000 Cash Other assets TOTAL ASSETS P320,000 P62,000 20,000 72,000 80,000 Liabilities Payable to Hubert Harris, Capital Hubert, Capital Hamish, Capital 86.000 TOTAL LIAB. AND CAPITAL 2320,000 The partners desire to prepare a cash priority program showing how cash would be distributed to partners as assets are re alized. 8. Using the information in number 7 and assuming the first sale of other assets with a book value of 100,000 re alized 30,000, and all available cash is distributed, the respective partner's would receive
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 1PA: The partnership of Tatum and Brook shares profits and losses in a 60:40 ratio respectively after...
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Transcribed Image Text:Partners Harris, Hubert and Hamish, who share profits and losses in the ratio of 3:5:2 respectively, have decided to
liquidate their partnership. At the time of liquidation, the balance sheet of the partnership consisted the following:
Cash
P 80,000
Other assets
240,000
P320,000
TOTAL ASSETS
P62,000
20,000
72,000
80,000
86 000
P320,000
Liabilities
Payable to Hubert
Harris, Capital
Hubert, Capital
Hamish, Capital
TOTAL LIAB. AND CAPITAL
The partners desire to prepare a cash priority program showing how cash would be distributed to partners as assets are
re alized.
8. Using the information in number 7 and assuming the first sale of other assets with a book value of 100,000 realized
30,000, and all available cash is distributed, the respective partner's would receive
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