Question
A,B,andCarepartnersinABCPartnershipandshareprofitsandlosses,5:3:2,respectively. Thepartnershaveagreedtoliquidatethepartnership.Priortoliquidation,thepartnership balance sheet shows the following bookvalues. Cash P25,200 Non-cash 297,600 Notes, payable to C 38,400 Other liabilities 184,800 A, capital 72,000 B, capital
A,B,andCarepartnersinABCPartnershipandshareprofitsandlosses,5:3:2,respectively. Thepartnershaveagreedtoliquidatethepartnership.Priortoliquidation,thepartnership balance sheet shows the following bookvalues.
Cash P25,200
Non-cash 297,600
Notes, payable to C 38,400
Other liabilities
184,800
A, capital
72,000
B, capital
(12,000)
C, capital
39,600
Liquidation expenses of P16,800 are paid. Non-cash assets with a book value of P240,000 are sold for P216,000. How much cash should C receive?
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Advanced Financial Accounting
Authors: Theodore E. Christensen, David M. Cottrell, Richard E. Baker
10th edition
78025621, 978-0078025624
