King, Queen and Prince are partners sharing profit and loss in the ratio of 1:1:2 respectively.  Their capital balances are P500,000,  P300,000 and P200,000 respectively.  Liabilities amounted to P200,000.  There is also a loan payable to Prince, P20,000. _______ If the non-cash assets were sold at a gain of P150,000. How much is the cash proceeds? a.P1,100,000                                                   c.  P1,400,000 b.P800,000                                                      d.  P1,050,000

4. Zahid and Majid entered into a Joint Venture for purchase and sale of some household items. They agreed to share profits and losses as 2/5 and 3/5 respectively. Zahid contributed Rs. 350,000 in cash and Majid Rs. 450,000. The whole amount was placed in a Joint Bank account. Zahid purchased goods for Rs. 250,000 and expenses paid by Majid amounted to Rs. 75,000. They also purchased goods for Rs. 375,000 through the Joint Bank Account. The expenses on purchase and sale of the articles amounted to Rs. 150,000 (including those met by Majid). Goods costing Rs. 500,000 were sold for Rs. 1,125,000 and the balance was lost by fire. Required: Enter the above transactions in the books of both Zahid and Majid. Also show the necessary ledger accounts in the books of the Venture.

Partners Baldecir and Magallanes each have a P300,000 capital balance and share profits and losses in a 3:1 ratio. Cash equals P100,000, non-cash assets equal P1,000,000 and liabilities equal P500,000. IF the non-cash assets are sold for P400,000 and both partners agreed to make up for any capital deficits with persona cash contributions, Magallanes eventually will receive cash of *

Gerald and Julia are joining their separate business to form a partnership and they agreed to share profits in the manner of 55% for Gerald and 45% for Julia. Property is to be contributed for a total capital of P800,000. The partners agreed to make their capital accounts equal after formation. How much cash must be contributed by each of the partners after they contributed their properties?     Gerald Julia   Book Value Fair Value Book Value Fair Value Accounts Receivable 60,000 60,000 - - Inventories 60,000 90,000 160,000 180,000 Equipment 100,000 80,000 180,000 190,000 Accounts Payable 30,000 30,000 20,000 20,000