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Use the following information for the next two questions.

Mr A and Ms B form a partnership and agreed to divide the initial capital equally even though Mr A contributed 100,000 and Ms B contributed 85,000 in identifiable assets.

Use the following information for the next two questions.

Mr A and Ms B form a partnership and agreed to divide the initial capital equally even though Mr A contributed 100,000 and Ms B contributed 84,

000 in identifiable assets.

PROBLEM 4: MULTIPLE CHOICE-COMPUTATIONAL 1. Triangle, Square and Round formed a partnership. Triangle contributed cash of P80,000. Square contributed equipment with historical cost of P700,000, carrying amount of P180,000, and fair value of P90,000. Round contributed building with historical cost of P1,000,000, carrying amount of P480,000 and fair value of P690,000. The partnership will assume the unpaid mortgage of P580,000 on the building. Which partner has the least capital account balance on partnership formation? a. Triangle c. Round b. Square d. None, all are equal 2. On January 1, 20x1, Mr. Ann and Ms. Buoy agreed to form a partnership. The partners' contributions are listed below: Mr. Ann Ms. Buoy Cash 50,000 120,000 Accounts receivable 360,000 1,080,000 Inventories 216,000 360,000 Land 1,080,000