Question
PARTNERSHIP LIQUIDATION The condensed balance sheet of May, June, and July as of March 31,2021 follows: Cash P28,000 Other Assets 265,000 Total P293,000 Liabilities P48,000
PARTNERSHIP LIQUIDATION
The condensed balance sheet of May, June, and July as of March 31,2021 follows:
Cash P28,000
Other Assets 265,000
Total P293,000
Liabilities P48,000
May, Capital 95,000
June, Capital 80,000
July, Capital 70,000
Total P293,000
The income and loss ratio is 50:25:25, respectively. The partners voted to dissolve their partnership and liquidate by selling other assets in installments. P70,000 was realized on the first cash sale of other assets with a book value of P150,000. After settlement with creditors, all cash available was distributed to the partners. How much cash was received by July?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Canadian Cases In Financial Accounting
Authors: Carol E. Dilworth, Joan E. D. Conrod
2nd Edition
256111405, 978-0256111408
