payments to partners are made when cash becomes available.C. a partner withdraws from the business and the enterprise continues to function.d. full payment is made to all outside creditors before remaining cash is distributed to part-ners in a final lump sum payment.40.Partner Jones, Kerr, and Lyons have decided to liquidate their partnership The partnership'sstatement of financial position reveals the following:CashOther assetsLiabilities60,00050,000500,000Jones, capitalKerr, capitalLyons, capital180,000240,00070,000550,000550,000============The partners share profits and losses in a 4:4:2 ratio and all partners are personally solvent. Lyonsreceived P98,000 in cash in full settlement for her share of the partnership. The selling price for theother asset is:a. P690,000b. P640,000C. P360,000d. P410,000Silverio, Domingo, Reyes, and Pastor are partners sharing earnings in the ratio of 3:4:6:8respectively. The balances of their capital accounts on December 31, 2011 are as follows: Silverio P1,000; Domingo P25,000; Reyes P 25,000; and Pastor P9,000.The partners decided to liquidate, and they accordingly convert the non-cash assets into P23,200 ofcash. After paying the liabilities amounting to P3,000, they have P22,200 to divide. Assume that adebit balance in any partner's capital accounts is uncollectible. After the P22,200 was divided, thecapital balance of Domingo was:41.а. Р3,200b. P3,920C. P4,500d. P17,800Matias, Pagayanon and Pescasiosa, partners sharing profit and losses based on 4:4:2 decided toliquidate. All assets of the partnership were liquidated. The condensed statement of financial positionjust prior to liquidation follows:42.AssetsCashliabilities and capitalliabilitiesP100, 000400, 000P140, 00010, 00045, 000105, 000200, 000P500,000Other assets were sold for P247, 500 realizing a loss of P152, 500. Parties agreed to fully terminatethe partnership's business thus, necessitating distribution of cash to partners and in case of capitaldeficiency, contribution of additional cash. The three partners were all solvent and could answer anyOther assetsMatias, loanMatias, capitalPagayanon, capitalPescasiosa, capitalTotalP500, 000Totalcapital deficiency.Name the partner and give the corresponding additional cash he had to invest due to his net capitaldeficiency to finally settle to the liquidation of the partnership.a Pagayanon, P44,000Pescasiosa, P30, 500Matias, P16,000d Matias, P6,000

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Partner Jones, Kerr, and Lyons have decided to liquidate their partnership The partnership's statement of financial position reveals the following: 40. Cash Other assets 500,000 60,000 180,000 240,000 70,000 50,000 Liabilities Jones, capital Kеп, сapital Lyons, capital 550,000 550,000 ====== The partners share profits and losses in a 4:4:2 ratio and all partners are personally solvent. Lyons received P98,000 in cash in full settlement for her share of the partnership. The selling price for the other asset is: a. P690,000 b. P640,000 с. Р360,000 d. P410,000

Partner Jones, Kerr, and Lyons have decided to liquidate their partnership The partnership's statement of financial position reveals the following: 40. Cash Other assets 500,000 60,000 180,000 240,000 70,000 50,000 Liabilities Jones, capital Kеп, сapital Lyons, capital 550,000 550,000 ====== The partners share profits and losses in a 4:4:2 ratio and all partners are personally solvent. Lyons received P98,000 in cash in full settlement for her share of the partnership. The selling price for the other asset is: a. P690,000 b. P640,000 с. Р360,000 d. P410,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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