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37
On March 1, 20x4, Evan and Helen decide to combine their business and form a partnership. The
|
Evan |
Helen |
Cash…………………………. |
P9,000 |
P3,750 |
|
18,500 |
13,500 |
Inventories………………….. |
30,000 |
19,500 |
Furniture and fixtures (net). |
30,000 |
9,000 |
Office equipment (net)….. |
11,500 |
2,750 |
Prepaid expenses…………. |
6,375 |
3,000 |
|
P105,375 |
P51,500 |
Accounts Payable………... |
P45,750 |
P18,000 |
Evan, Capital………………. |
59,625 |
|
Helen, Capital……………... |
|
33,500 |
|
P105,375 |
P51,500 |
They agreed to provide 3% for doubtful accounts of their accounts receivables and found Helen’s furniture and fixtures to be under-
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- ii.9arrow_forwardEXERCISE 13-3 (1) Allocation of $220,000 of Partnership Income Cumulative Johnson Larson Kragen Total Profit and loss percentage Salary............................. Bonus (see Note A)........ Interest on capital........... Balance...................... Total $77,000 $85,500 $57,500 (2) Allocation of $34,000 of Partnership Loss Cumulative Johnson Larson Kragen Total Profit and loss percentage 1/3 1/3 1/3 Salary............................. Bonus (see Note A)........…arrow_forwardA-7arrow_forward
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