The following balance sheet accounts were taken from the partnership of J&J Co. on March 31, 2020 Cash-P500,000, Other Assets-P3,600,000; Liabilities P1,040,000; Jerry, Capital (40%)-P800,000, Jojo, Capital (40%)-P1,300,000 and Jemuel, Capital (20%)-P960,000. The partnership was liquidated by installment. The proceeds from the first sale of non-cash assets with a book value of P1,800,000 amounted to P1,000,000. In the first month, P640,000 of the liabilities and P50,000 of unrecorded liabilities were paid. The partners also set aside P100,000 for future expenses. How much is the cash balance after the first installment payment?
The following balance sheet accounts were taken from the partnership of J&J Co. on March 31, 2020 Cash-P500,000, Other Assets-P3,600,000; Liabilities P1,040,000; Jerry, Capital (40%)-P800,000, Jojo, Capital (40%)-P1,300,000 and Jemuel, Capital (20%)-P960,000. The partnership was liquidated by installment. The proceeds from the first sale of non-cash assets with a book value of P1,800,000 amounted to P1,000,000. In the first month, P640,000 of the liabilities and P50,000 of unrecorded liabilities were paid. The partners also set aside P100,000 for future expenses. How much is the cash balance after the first installment payment?
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter14: Partnerships And Limited Liability Entities
Section: Chapter Questions
Problem 2BD
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The following balance sheet accounts were taken from the partnership of J&J Co. on March 31, 2020 Cash-P500,000, Other Assets-P3,600,000; Liabilities P1,040,000; Jerry, Capital (40%)-P800,000, Jojo, Capital (40%)-P1,300,000 and Jemuel, Capital (20%)-P960,000. The partnership was liquidated by installment. The proceeds from the first sale of non-cash assets with a book value of P1,800,000 amounted to P1,000,000. In the first month, P640,000 of the liabilities and P50,000 of unrecorded liabilities were paid. The partners also set aside P100,000 for future expenses. How much is the cash balance after the first installment payment?
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