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Problem 1: A and B are partners of AB Partnership sharing profits and losses in the ratio 4:6. Their capital balances are P400,000 and P600,000,
Problem 1: A and B are partners of AB Partnership sharing profits and losses in the ratio 4:6. Their capital balances are P400,000 and P600,000, respectively. On October1, 2019, upon mutual agreement of Partner A and Partner B, Partner C was admitted in the partnership, under different assumptions. Case a. C purchased one-half (1/2) of A's interest for P250,000. b. C purchased one-third (1/3) of B's interest for P150,000. C. C purchased one-fourth (1/4) of partnership interest for P350,000. d. C purchased one-half (1/2) interest of Partners A and B by paying P600,000. Requirement: Journal entries for each of the cases and solution in good form
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