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The partnership of AA, BB, and CC was dissolved on June 30, 20x1 and account balances after non-cash assets were converted into cash on September

The partnership of AA, BB, and CC was dissolved on June 30, 20x1 and account balances

after non-cash assets were converted into cash on September 1, 2004 are:

Cash.................................P50,000 Accounts payable P120,000

AA, capital (30%) 90,000

BB, capital (30%) (60,000)

CC, capital (40%) (100,000)

Personal assets and liabilities of the partners at September 1, 20x1 are:

Personal Personal

Assets Liabilities

AA.................................................................... P80,000 P90,000

BB.................................................................. 100,000 61,000

CC.................................................................. 192,000 80,000

If CC contributes P70,000 to the partnership to provide cash to pay the creditors, what

amount of AA's P90,000 partnership equity would appear to be recoverable?

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