PARTNERSHIP LIQUIDATION - LUMP SUM Problem A. The statement of financial position of HIJ Partnership is as follows: HIJ Partnership Statement of Financial Position December 31, 2018 Assets Liabilities and Capital Cash P180,000 Accounts payable P1,530,000 Receivable from Hail 180,000 Hail, capital 1,080,000 Other assets 3,780,000 Ivan, capital 810,000 Jake, capital 720,000 Total assets P4,140,000 Total liabilities and capital P4,140,000 The partner's profit and loss ratio of Hail, Ivan and Jake is 5:3:2 respectively. On January 1 of next year, the partners decide to liquidate the partnership. They agree that all cash should be distributed as it becomes available. If cash of P1,980,000 including the P180,000 cash on hand becomes available, how much should each partner receive? Hail Ivan Jake A. P225,000 P135,000 P90,000 B. 162,000 288,000 C. 90,000 288,000 72,000 D. 234,000 216,000 If Hail received P250,000 in the final settlement, how much is the loss on realization? A. P1,300,000 B. P1,120,000 C. 2,650,000 D. 1,550,000 Problem B. Dave, Elmo and Fred are partners who share profits and losses in the ratio of 10:6:4, respectively. Their statement of financial position of their partnership is presented below: Assets Liabilities and Capital Cash P180,000 Accounts payable P250,000 Noncurrent assets 1,000,000 Advances from Elmo 20,000 Advances to Dave 50,000 Dave, capital 400,000 Elmo, capital 260,000 Fred, capital 300,000 Total assets P1,230,000 Total liabilities and capital P1,230,000 If Dave received P175,000, how much would have Elmo received by then? A. P210,000 B. P175,000 C. P490,000 D. P230,000 If Dave received P25,000, how much is the loss on realization of noncash assets? P3,250,000 B. P650,000 C. P350,000 D. 700,000 If Elmo received P100,000, how much is the loss on realization of noncash assets? P900 000 P620 000 P870 000 P800 0