Show the solution in good accounting form Problem 10DON, BEH and SAD partnership became insolvent and the partnership is beingliquidated as soon as feasible.for the partners has been marshaled:In this respect the following informationCapitalPersonalPersonalBalancesAssetsLiabilities70,000(60,000)(30,000)(20,00080,00030,00070,00040,00050,00030,000DONВЕНSADTotalthat residual profits and losses are shared equally among the threepartners, based on this information, what is the maximum amount that DON canexpect to receive from the partnership liquidation?20,00040,000Assumec. 70,000110,000А.В.19 D.

Problem 10 DON, BEH and SAD partnership became insolvent and the partnership is being In this respect the following information liquidated as soon for the partners has been marshaled: as feasible. Capital Balances Personal Personal Assets Liabilities 40,000 70,000 (60,000) (30,000) (20,000 80,000 30,000 70,000 DON ВЕН SAD 50,000 30,000 Total Assume that residual profits and losses are shared equally among the three partners, based on this information, what is the maximum amount that DON can expect to receive from the partnership liquidation? 20,000 40,000 70,000 110,000 A. c. 19 p. в.

Problem 10 DON, BEH and SAD partnership became insolvent and the partnership is being In this respect the following information liquidated as soon for the partners has been marshaled: as feasible. Capital Balances Personal Personal Assets Liabilities 40,000 70,000 (60,000) (30,000) (20,000 80,000 30,000 70,000 DON ВЕН SAD 50,000 30,000 Total Assume that residual profits and losses are shared equally among the three partners, based on this information, what is the maximum amount that DON can expect to receive from the partnership liquidation? 20,000 40,000 70,000 110,000 A. c. 19 p. в.

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter11: Invest Or Losses

Section: Chapter Questions

Problem 35P

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LO.2 In the current year, Bill Parker (54 Oak Drive, St. Paul, MN 55164) is considering making an investment of 60,000 in Best Choice Partnership. The prospectus provided by Bills financial planner indicates that the partnership investment is not a passive activity and that Bills share of the entitys loss in the current year will likely be 40,000, whereas his share of the partnership loss next year will probably be 25,000. Write a letter to Bill in which you indicate how the losses would be treated for tax purposes in the current year and the following year.
2. The capital balances of partners Po and Gi are as follows:Po GiJanuary 1, Beginning P100,000 P200,000June 30, investment 50,000 -September 30, withdrawal - (100,000)Balance P150,000 P100,000Their agreement is to share profit and loss based on average capital balance. How muchis the share of Gi in the partnership’s income of P450,000?
Question 10 A, B and C partnership shows the following profit and loss ratios and capital balances: A 60% 300,000 B 30% 120,000 C 10% 50,000 The partners decided to sell D 20% of their respective capital and profit and loss interests for a total payment of 90,000. D will pay directly to the partners. If the partners agreed to revalue the assets prior to the admission of D, what is the capital balance of A after D's admission?
10. The following balance sheet was prepared for the X, Y and Z partnership on March 31, 2021: Cash –P25,000; Other Assets – P180,000; Liabilities – P52,000; X, Capital (40%) – P40,000; Y, Capital (40%) –P65,000; Z, Capital (20%) – P48,000. The partnership is being liquidated by the sale of assets ininstallments. The first sale of non-cash assets having book value of P90,000 realizes P50,000. Assumethateach partner properly received some cash after the second sale of assets. The cash to be distributedamountto P14,000 from the third sale of assets, and unsold assets with a P6,000 book value remain. How shouldthe P14,000 be distributed to X, Y and Z respectively? a. P5,600; P6,500; P2,800b. P5,000; P5,000; P4,000c. P0; P11,200; P2,800d. P5,600; P5,600; 2,800
15. A, B and C partnership shows the following profit and loss ratios and capital balances: A 60% 300,000 B 30% 120,000 C 10% 50,000 The partners decided to sell D 20% of their respective capital and profit and loss interests for a total payment of 90,000. D will pay directly to the partners. If the partners agreed to revalue the assets prior to the admission of D, what is the capital balance of C after D's admission?
Problem 15. On December 31, 2020, the Statement of Financial Position of ABC Partnershipwith profit or loss ratio of 5:3:2 is presented below: CashP1,600,000Total LiabilitiesP2,000,000 Non Cash Assets1,400,000A, capital100,000 B, capital500,000 C, Capital400,000 On January 1, 2021, the partners decided to liquidate the partnership ininstallment. All partners are legally declared to be personally insolvent. As of January 31, 2021, the following transactions occurred: - Noncash Assets with book value of P1,000,000 were sold at a gain ofP100,000.00 - Liquidation expenses for the month of January amounting to P50,000 werepaid. - It is estimated that liquidation expenses amounting to P150,000 will be incurred For the month of February, 2021. - 20% of the liabilities to third person were settled. - Available cash were distributed to partners As of February 28, 2021, the following transactions occurred: - Remaining noncash assets were sold at a loss of P100,000 - The remaining liabilities to…
Problem 15. On December 31, 2020, the Statement of Financial Position of ABC Partnershipwith profit or loss ratio of 5:3:2 is presented below: CashP1,600,000Total LiabilitiesP2,000,000 Non Cash Assets1,400,000A, capital100,000 B, capital500,000 C, Capital400,000 On January 1, 2021, the partners decided to liquidate the partnership ininstallment. All partners are legally declared to be personally insolvent. As of January 31, 2021, the following transactions occurred: - Noncash Assets with book value of P1,000,000 were sold at a gain ofP100,000.00 - Liquidation expenses for the month of January amounting to P50,000 werepaid. - It is estimated that liquidation expenses amounting to P150,000 will be incurred For the month of February, 2021. - 20% of the liabilities to third person were settled. - Available cash were distributed to partners As of February 28, 2021, the following transactions occurred: - Remaining noncash assets were sold at a loss of P100,000 - The remaining liabilities to…
Problem 15. On December 31, 2020, the Statement of Financial Position of ABC Partnershipwith profit or loss ratio of 5:3:2 is presented below: CashP1,600,000Total LiabilitiesP2,000,000 Non Cash Assets1,400,000A, capital100,000 B, capital500,000 C, Capital400,000 On January 1, 2021, the partners decided to liquidate the partnership ininstallment. All partners are legally declared to be personally insolvent. As of January 31, 2021, the following transactions occurred: - Noncash Assets with book value of P1,000,000 were sold at a gain ofP100,000.00 - Liquidation expenses for the month of January amounting to P50,000 werepaid. - It is estimated that liquidation expenses amounting to P150,000 will be incurred For the month of February, 2021. - 20% of the liabilities to third person were settled. - Available cash were distributed to partners As of February 28, 2021, the following transactions occurred: - Remaining noncash assets were sold at a loss of P100,000 - The remaining liabilities to…
Problem 3. The A,B,C partnership agreement specifies that partnership net income be allocated as follows: A B C Salary allowance P30,000 P10,000 P40,000Interest on ave. capital balance 10% 10% 10% Remainder 40% 40% 20% The average capital balances for the current year were P50,000 for A, P30,000 for B, and P20,000 FOR c. Assuming a current year net income of P150,000, what amount should be allocated to each partner? Assuming a current year net income of P50,000, what amount should be allocated to each partner?
19. A, B and C partnership shows the following profit and loss ratios and capital balances: A 60% 300,000 B 30% 120,000 C 10% 50,000 The partners decided to sell D 20% of their respective capital and profit and loss interests for a total payment of 90,000. D will pay directly to the partners. If the partners agreed to revalue the assets prior to the admission of D, what is the capital balance of A after D's admission?
Problem 10The total of the partners’, capital accounts was P110,000 before the recognition of partnership asset revaluation in preparation for the final withdrawal of a partner whose profit or loss sharing is 2/10. He was paid P28,000 by the firm in final settlement for his interest. The remaining partners’ capital accounts, excluding their share of the assets revaluation, totaled P90,000 after his withdrawal.What was the total asset revaluation that the firm agreed upon?A. 40,000 C. 20,000B. 28,000 D. 8,000
24 TM and SJ, having capital balances of P980,000 and P525,000 respectively, decided to admit GD into their partnership. GD is to invest sufficient amount in order to have a 25% interest in the partnership. If TM and SJ share profit in a proportion of 3:1, respectively, and SJ’s capital balance after GD’s investment is P589,750, Group of answer choices 848,750 847,000 1,174,250 588,000