A partner invested into a partnership a building with a P250,000 carrying value and P400,000 fair market value. The related mortgage of P125,000 was assumed by the partnership. As a result of the investment, the partner’s capital account will be credited f
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A partner invested into a
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- Juan contributes marketable securities to a partnership. The book value of the securities is $7,000 and they have a current market value of $10,000. What amount should the partnership record in Juans Capital account due to this contribution? A. $10,000 B. $7,000 C. $3,000 D. none of the aboveA partner invested into a partnership a building with a P250,000 carrying value and P400,000 fair market value. The related mortgage payable of P125,000 was assumed by the partnership. As a result of the investment, the asset will be recorded atA partner invests into a partnership a building with a P25,000 carrying value and P40,000 fair market value. The related mortgage payable of P12,500 is assumed by the partnership. The entry to record the investment in partnership is: a. Building Mortgage Payable Capital b. Building Mortgage Payable Capital c. Capital O A O B O C O D Mortgage Payable Building d. Capital Mortgage Payable Building 40,000 25,000 25,000 40,000 12,500 12,500 12,500 27,500 12,500 27,500 12,500 12,500
- Partner A and Partner B decided to form a partnership. Partner A invested the following: Cash of P500,000, Land costing P200,000 with an fair value of P600,000; building, costing P1,500,000 with accumulated depreciation of P500,000 but with fair market value of P850,000, and mortgage note payable of P200,000. The mortgage payable is to be assumed by the partnership. Partner B invested cash to give her 30% interest in the partnership. How much cash did Partner B invests?A partner invested into a partnership a building with a P250,000 carrying value and P400,000 fair market value. The related mortgage payable of P125,000 was assumed by the partnership. As a result of the investment, the partner's capital account will be credited forA, B, C and E are partners. They contributed to the capital as follows: A-P50,000; B-P100,000; C-P150,000; and E as the industrial partner, his services. The partnership obligation to outsiders exceeds the total net assets by P200,000. Who and by how much will the partners be liable for the payment of the P200,000? a. A-zero; B- zero; C-zero; E-zero b. A- P33,333; B-P66,666;C-P100,000;E-zero c. A-P45,000; B-P45,000; C-P55,000; E- P55,000 d. A-P50,000; B-P50,000; C-P50,500; E-P50,000
- Stokely and Leder are forming a partnership. Stokely invests in a building that has a market value of $250,000; and the partnership assumes responsibility for a $50,000 note secured by a mortgage on that building. Leder invests $100,000 cash. For the partnership, the amounts recorded for the building and for Stokely’s capital account are: a. Building, $250,000; Stokely, Capital, $250,000. b. Building, $200,000; Stokely, Capital, $200,000. c. Building, $200,000; Stokely, Capital, $100,000. d. Building, $200,000; Stokely, Capital, $250,000. e. Building, $250,000; Stokely, Capital, $200,000.What is the adjusted balance of your capital account if attached to the building is an unpaid mortgage of P800,000. Partner 1 agrees to settle thismortgage immediately using his/her personal funds. Also, provide the entry to record the contribution in the partnership books.A & B formed a partnership. A contributed cash and land with a fair value of P60,000 and a book value of P50,000. B contributed P130,000 cash for 65% claim in the partnership's assets. Compute the amount of cash A should contribute.
- 1. Mr. A. Mr. B and Mr. C agreed to form a partnership. Mr. A will contribute cash in the amount of P100,000; Mr. B will contribute land which originally cost P 500,000 with a fair Market value of P 1,000 and mortgage payable in the amount of P 200,000; and Mr. C contributed a brand new equipment amounting to P 300,000. Based on the following contributions. The total Partner's Equity is A. P 700.000 B. P 1.200.000 C. P1.600.000 D. P 1.400.000 2. A decrease in the capital of one or more partners with a corresponding increase in the capital of another(s), without cash being involved, is a transfer of interest called A. asset revaluation B. bonus C. appraisal D. goodwillA and B have capital balances of P150,000 and P180,000, respectively. C is to invest P60,000 for 15% in the partnership interest and also in the profit and loss. There is an undistributed net income in the amount of P80,000. Partners A and B share profit and loss 65.35. 1. How much is the capital credit of C upon his admission? 2.How much is the bonus to partner A from partner C? 3.If equipment is overvalued, how much is the share of partner B in the overvaluation of the equipment?Mr. A , Mr. B and Mr. C agreed to form a partnership. Mr. A will contribute cash in the amount of P100,000; Mr. B will contribute land which originally cost P 500,000 with a fair Market value of P 1,000 and mortgage payable in the amount of P 200,000; and Mr. C contributed a brand new equipment amounting to P 300,000. Based on the following contributions. The total Partner’s Equity is
