The ST Partnership was formed by Saling and Taling, who contribuir tangible assets with the following fair values: Cash Furniture Computer Saling P50,000 12,000 Taling P20,000 a. Goodwill method. b. Bonus method. Agreed value P70,000 10,000 80,000 100,000 The amount of P5,000 is owed for the furniture and the amount of P50,000 is owed for the computer. The partnership assumes both liabilities. Required: Prepare the partnership formation entry assuming that the partners' capital balances are to be qual using

The ST Partnership was formed by Saling and Taling, who contribuir tangible assets with the following fair values: Cash Furniture Computer Saling P50,000 12,000 Taling P20,000 a. Goodwill method. b. Bonus method. Agreed value P70,000 10,000 80,000 100,000 The amount of P5,000 is owed for the furniture and the amount of P50,000 is owed for the computer. The partnership assumes both liabilities. Required: Prepare the partnership formation entry assuming that the partners' capital balances are to be qual using

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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Question

The ST Partnership was formed by Saling and Taling, who contribut
tangible assets with the following fair values:
Cash
Furniture
Computer
Saling
P50,000
12,000
Taling
P20,000
a. Goodwill method.
b. Bonus method.
Agreed value
P70,000
10,000
80,000
100,000
The amount of P5,000 is owed for the furniture and the amount of P50,000 is
owed for the computer. The partnership assumes both liabilities.
Required: Prepare the partnership formation entry assuming that the
partners' capital balances are to be qual using

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