Partners Prada, Paris and Paco have capital balances of P 90,000, P 70,000 and P 40,000 respectively and they share profits in the ratio of 3:3:4. Paco is no longer willing to contribute the amount of time and effort to the partnership. If Paris purchases Paco's interest for P 64,000, what is the balance of Paris' capital account after the withdrawal of Paco?

Partners Prada, Paris and Paco have capital balances of P 90,000, P 70,000 and P 40,000 respectively and they share profits in the ratio of 3:3:4. Paco is no longer willing to contribute the amount of time and effort to the partnership. If Paris purchases Paco's interest for P 64,000, what is the balance of Paris' capital account after the withdrawal of Paco?

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter11: Partnerships: Distributions, Transfer Of Interests, And Terminations

Section: Chapter Questions

Problem 44P

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