(Three Partners) 13. Rey, Sam and Tim formed a partnership on May 31, 2020., with the following assets, measured at their fair market values contributed by each partner: Tim 180,000 15,000 Tim will personally settle the loan from his share in the profits of the partnership. The delivery equipment contributed by Rey has a mortgage of P540,000 and the partnership is to assume the responsibility for the loan. The partners agree to divided profits and losses 40% to Rey; 40% to Sam, and 20% to Tim. Rey 60,000 900,000 51,000 29,600 Sam 72,000 Cash Delivery equipment Computer equipment The partners further agreed to bring their respective capital interest in proportion to their profit and loss ratio. In this agreement, there shall be a: A. Bonus from Rey, P163,960 B. Bonus from Tim, P41,480 C. Bonus to Sam, P205,440 D. All of the above
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
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