Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

3. The partnership contract of Ivan and Irvin provided for salaries of P90,000 to Ivan and P70,000 to Irvin, with any remaining income or loss

3. The partnership contract of Ivan and Irvin provided for salaries of P90,000 to Ivan and P70,000 to Irvin, with any remaining income or loss divided equally. During, 2020, pre salaries income of Ivan and Irvin Co. was P200,000, and both Ivan and Irvin withdrew cash from the partnership equal to 80% of their salary allowance, During 2020, Ivans equity in the partnership:

a. Increase more than Irvins equity

b. Decrease more than Irvins equity

c. Increase the same amount as Irvins equity

d. Decrease the same amount as Irvins equity

4. A retiring partner withdraws his interest at book value receives assets

a. Above his capital interest

b. Below his capital interest

c. Equal to his capital interest

d. None of the choices

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Quality Audits For Improved Performance

Authors: Dennis R. Arter

3rd Edition

0873895703, 978-0873895705

More Books

Students also viewed these Accounting questions

Question

=+ How about one you felt had acted in a hypocritical way?

Answered: 1 week ago