Question
remaining partners continue to use their old profit and loss ratio. The excess is considered as a revaluation (goodwill) to be recognized. Requirement 8:
remaining partners continue to use their old profit and loss ratio. The excess is considered as a revaluation (goodwill) to be recognized. Requirement 8: How much is the individual capital of Alpha and Charlie after the withdrawal of Beta? Part V: On August 31, 20x7, the partnership decided to liquidate and filed a voluntary bankruptcy petition. The following information were available right before the liquidation: AC Partnership Statement of Financial Position August 31, 20x7 ASSETS Cash P Non-cash assets 320,000 P 320,000 TOTAL ASSETS LIABILITIES AND CAPITAL Current liabilities Accounts payable Loan payable - Charlie Capital Total liabilities Alpha, capital (60%) Charlie, capital (40%) TOTAL LIABILITIES AND CAPITAL The results of liquidation are summarized below: P 120,000 35,000 P 155,000 P 105,000 60,000 P 320,000 Payment Book value Cash proceeds to creditors September 15, 30x7 P150,000 P90,000 P75,000 Costs of liquidation expenses paid P 10,000 Cash Payments withheld to partner P5,000 October 31, 20x7 120,000 60,000 45,000 5,000 2,000 P13,000 November 30, 20x7 50,000 20,000 5,000 15,000 Requirement 9: Prepare the statement of realization and liquidation of AC Partnership from August 31 to November 30, 20x7. Requirement 10: Prepare the schedule of safe payments for AC Partnership.
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