The statement of financial position for the partnership of Marlin, Martin and Marvin as of June 30, 20xx with their respective profit and loss ratio were as follows: Assets, at cost P4,000,000 100,000 700,000 Loan Payable to Marlin Marlin, Capital Martin, Capital Marvin, Capital (20%) (30%) (50%) 1,200,000 2,000,000 P4,000,000 Marlin had decided to retire from the partnership. The partners agreed that the assets are to be adjusted to their fair value of P4,300,000 at June 30, 20xx. It was agreed that the partnership would pay Marlin P1,000,000 cash for his interest in the partnership including the loan.
The statement of financial position for the partnership of Marlin, Martin and Marvin as of June 30, 20xx with their respective profit and loss ratio were as follows: Assets, at cost P4,000,000 100,000 700,000 Loan Payable to Marlin Marlin, Capital Martin, Capital Marvin, Capital (20%) (30%) (50%) 1,200,000 2,000,000 P4,000,000 Marlin had decided to retire from the partnership. The partners agreed that the assets are to be adjusted to their fair value of P4,300,000 at June 30, 20xx. It was agreed that the partnership would pay Marlin P1,000,000 cash for his interest in the partnership including the loan.
Chapter15: Partnership Accounting
Section: Chapter Questions
Problem 3EA: The partnership of Tasha and Bill shares profits and losses in a 50:50 ratio, and the partners have...
Related questions
Question
Our topic is about
- What is the total capital balance after retirement of Marlin?
- What is the capital balance of Marvin after retirement of Marlin?
- What is the capital balance of Martin after retirement of Marlin?
Thank you!!!
Transcribed Image Text:he statement of financial position for the partnership of Marlin, Martin and Marvin
as of June 30, 20xx with their respective profit and loss ratio were as follows:
Assets, at cost
P4,000,000
5.
100,000
Loan Payable to Marlin
Marlin, Capital
Martin, Capital
Marvin, Capital
700,000
(20%)
(30%)
(50%)
1,200,000
2.000,000 P4,000,000
Marlin had decided to retire from the partnership. The partners agreed that the assets
are to be adjusted to their fair value of P4,300,000 at June 30, 20xx. It was agreed
that the partnership would pay Marlin P1,000,000 cash for his interest in the
partnership including the loan.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning