With solutions
3-4: The capital accounts of Ed, Nick, and Vic are presented below with their respective profit and loss ratio: Ed P139,000 (1/2) Nick 209,000 (1/3) Vic 96,000 (1/6) Tony was admitted to the partnership when he purchased directly, for P132,000 a proportionate interest from Ed and Nick in the net assets and profits of the partnership. As a result, Tony acquired a one-fifth interest in the net assets and profits of the firm. Assuming no revaluation of assets is recorded, what is the combined gain realized by Ed and Nick upon the sale of a portion of their interests in the partnership to Tony? a. PO b. P43,200 P62,400 d. P82,000 3-5: Anson wishes to purchase one-fourth interest in the partnership of Bernal, Cuevas and Diaz. The three partner's agree to sell Anson one-fourth of their respective capital and profit and loss interests in exchange for a total payment of P40,000. The partner's capital accounts and the profit and loss ratio immediately before the admission of Anson are as follows: Capital Profit and Loss Accounts Ratio Bernal P 80,000 60% Cuevas 40,000 30% Diaz 20,000 10% P140,000 100% All assets and liabilities are fairly valued and no bonus is to be recorded upon the admission of Anson. Immediately after Anson's admission, what should be the capital balances of Bernal, Cuevas and Diaz respectively? a. P60,000; P30,000; P15,000. b. P69,000; P34,500; P16,500. c. P77,000; P38,500; P19,500. d. P92,000; P46,000; P22,000. Use the following information for items 1, 2, and 3: The ALD Partnership shows the following profit and loss ratios and capital balances: Aquino 50% P252,000 Locsin 30% P126,000 Dizon 10% P42,000 The partners decide to sell Hizon 20 percent of their respective capital and profit and loss interests for a total payment of P90,000. Hizon will pay the money directly to the other partners. 3-1: If the partners agree that unrecognized goodwill is to be recorded prior to the sale of Hizon, what are the capital balances of the partners after his admission? Aquino Locsin Dizon Hizon a. P198,000 P 99.000 P33,000 P90,000 b. P201,600 P100,800 P33,600 P90,000 C. P216,000 P108,000 P36,000 P90,000 d. P255,600 P127,800 P42,600 P90,000 3-2: If the partners agree that the bonus method is used, what are the capital balances of the partners after Hizon's admission to the partnership? Aquino Locsin Dizon Hizon P198,000 P99,000 P33,000 P90,000 b. P201,600 P100,800 P33,600 P84,000 P216,000 P108,000 P36,000 P90,000 d. P255,699 P127,800 P42,600 P84,000 3-3: How much cash should Aquino, Locsin, and Dizon receive, respectively from Hizon? a. P50,400, P25,200, and P8,400, if and only if no goodwill is recorded. . P50,400, P25,200, and P8,400, whether or not goodwill is recorded. c. P54,000, P27,000, and P9,000, if and only if goodwill is recorded. d. P54,000, P27,000, and P9,000, whether or not goodwill is recorded
