Dhel and Delia agreed to form a partnership contributing their perspective assets and liabilities subject to the following adjustments: a. The accounts receivable of Dhel is believed to be 95% collectible while that of Delia is 90% realizable. U. Unrecognized interest on the notes receivable of both Dhel and Delia, 12% for two months.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Hi! I'm from the Philippines. Our topic is about formation of the partnership. The attached pictures are the problems and adjustments. 

 

I need the adjusting entries on both books of Dhel and Delia. 

If it's possible, I also would like to see the adjustments in a balance sheet. Thank you!

c. Unrecognized interest on the Loans Payable of both Dhel and Delia, 12% ner
annum for three months.
d. Inventories of P10,000 and P15,000 are worthless in Dhel's and Delia's
respective books.
e. The building is overdepreciated by P20,000 while the furniture and fixtures
should be depreciated by P5,000 and P10,000 more for Dhel and Delia
respectively.
£ Other assets of P8,000 and P4,000 in Dhel's and Delia's respective books are to
be written off.
Transcribed Image Text:c. Unrecognized interest on the Loans Payable of both Dhel and Delia, 12% ner annum for three months. d. Inventories of P10,000 and P15,000 are worthless in Dhel's and Delia's respective books. e. The building is overdepreciated by P20,000 while the furniture and fixtures should be depreciated by P5,000 and P10,000 more for Dhel and Delia respectively. £ Other assets of P8,000 and P4,000 in Dhel's and Delia's respective books are to be written off.
The business assets of Dhel and Delia appears below:
Dhel
Delia
179,000
300,000
(9,000)
150,000
750,000
1,000,000
2,000,000
(220,000).
100,000
(20,000)
20,000
4,250,000
137,200
Cash
240,000
Accounts Receivable
ie
Allowance for Bad Debts
Notes Receivable
Inventories
(7,200)
300,000
750,000
Land
Building
Accumulated Depreciation - Building
Furniture and Fixtures
Accumulated Depreciation Furniture and Fixtures
50,000
(10,000)
40,000
Other Assets
Total
P
1,500,000 P
P
75,000
Accounts Payable
Loans Payable
Dhel, Capital
Dhelia, Capital
62,500 P
250,000
1,187,500
300,000
3,875,000
4,250,000
Total
P
1,500,000 P
Dhel and Delia agreed to form a partnership contributing their perspective assets and
liabilities subject to the following adjustments:
a. The accounts receivable of Dhel is believed to be 95% collectible while that of
Delia is 90% realizable.
0. Unrecognized interest on the notes receivable of both Dhel and Delia, 12% for
two months.
Transcribed Image Text:The business assets of Dhel and Delia appears below: Dhel Delia 179,000 300,000 (9,000) 150,000 750,000 1,000,000 2,000,000 (220,000). 100,000 (20,000) 20,000 4,250,000 137,200 Cash 240,000 Accounts Receivable ie Allowance for Bad Debts Notes Receivable Inventories (7,200) 300,000 750,000 Land Building Accumulated Depreciation - Building Furniture and Fixtures Accumulated Depreciation Furniture and Fixtures 50,000 (10,000) 40,000 Other Assets Total P 1,500,000 P P 75,000 Accounts Payable Loans Payable Dhel, Capital Dhelia, Capital 62,500 P 250,000 1,187,500 300,000 3,875,000 4,250,000 Total P 1,500,000 P Dhel and Delia agreed to form a partnership contributing their perspective assets and liabilities subject to the following adjustments: a. The accounts receivable of Dhel is believed to be 95% collectible while that of Delia is 90% realizable. 0. Unrecognized interest on the notes receivable of both Dhel and Delia, 12% for two months.
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