Joint Arrangement

Cersei and Jaime are joint operators who agreed to share prots and losses equally. The parties appointed Jaime as the manager of the joint operation. The joint operation's transactions during the year are as follows: Cersei invested inventory costing P301,497. Jaime invested cash of P350393 to the joint operation- Jaime acquired additional inventory costing P129564 using the joint operation's funds. Jaime sells inventory costing P300,000 for P924398 cash- Jaime settles expenses of P250384 using the joint operation's funds. panes No separate books are maintained for the joint operation. REQUIRED: 1. How much is the prot of the joint operation? How much is Jaime's share in the prot? How much is Cersei's share in the prot? How much is the unsold inventory? Assuming Cersei takes the unsold inventory. how much will Cersei receive as cash settlement if the joint operation will be liquidated at the end of the year? Assuming Cersei takes the unsold inventory. how much will Jaime receive as cash settlement if the joint operation will be liquidated at the end of the year? 7. Prepare the entry for transaction (a) in Cersei's books. 8. Prepare the entry for transaction (0) in Jaime's books. 9 1 PPS-'0!\" F\" . Prepare the entry for transaction (d) in Cersei's books. 0. Prepare the entry for transaction (e) in Jaime's books. X Company and Y Company formed a joint venture, XY Company. in 20x1 to sell particular merchandise. Cash investments by the venturers X Company (65%) P1,200,000; Y Company (35%) P800000. The following information is available: Purchases of merchandise on account, P1,500,000; Expenses paid, P100000; Sales on account (130% of cost), P1.508,000. REQUIRED: 11. What is the net income? 12. Using the equity method, what is the balance of the Investment in Joint Venture account in the books of Y Company on December 31, 20x1? 13. Using the equity method, what is the balance of the Investment in Joint Venture account in the books of X Company on December 31, 20x1