15. On Apr. 30, 2019, Foja, Lupian, and Retada formed a partnership by combining their separate business proprietorships. Foja contributed cash of P50,000. Lupian contributed property with a P36,000 carrying amount, a P40,000 original cost, and P80,000 fair value. The partnership assumed the P35,000 mortgage attached to the Retada contributed equipment with a P30,000 carrying amount, a property. P75,000 original cost, and P55,000 fair value. The partnership agreement specified that profits and losses are to be shared equally. Which partner has the largest Apr. 30, 2019, capital account balance? a. Foja. b. Retada. c. Lupian. d. All capital account balances are equal.
15. On Apr. 30, 2019, Foja, Lupian, and Retada formed a partnership by combining their separate business proprietorships. Foja contributed cash of P50,000. Lupian contributed property with a P36,000 carrying amount, a P40,000 original cost, and P80,000 fair value. The partnership assumed the P35,000 mortgage attached to the Retada contributed equipment with a P30,000 carrying amount, a property. P75,000 original cost, and P55,000 fair value. The partnership agreement specified that profits and losses are to be shared equally. Which partner has the largest Apr. 30, 2019, capital account balance? a. Foja. b. Retada. c. Lupian. d. All capital account balances are equal.
Chapter21: Partnerships
Section: Chapter Questions
Problem 22CE
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Transcribed Image Text:14. On July 1, Faminial and Fetalvero formed a partnership, agreeing to share profits
and losses in the ratio of 4:6 respectively. Faminial contributed a parcel of land that
cost P25,000. Fetalvero contributed P50,000 cash. The land was sold for P50,000
on July 1, three hours after formation of the partnership. How much should be
recorded in Faminial's capital account on formation of the partnership?
c. P25,000.
d. P10,000.
a. P50,000.
b. P20,000.
15. On Apr. 30, 2019, Foja, Lupian, and Retada formed a partnership by combining their
separate business proprietorships. Foja contributed cash of P50,000. Lupian
contributed property with a P36,000 carrying amount, a P40,000 original cost, and
P80,000 fair value. The partnership assumed the P35,000 mortgage attached to the
property. Retada contributed equipment with a P30,000 carrying amount, a
P75,000 original cost, and P55,000 fair value. The partnership agreement specified
that profits and losses are to be shared equally. Which partner has the largest Apr.
30, 2019, capital account balance?
a. Foja.
b. Retada.
c. Lupian.
d. All capital account balances are equal.
16. Lacson and Solis started a partnership. Lacson contributed a building that she
purchased 10 years ago for P100,000. The accumulated depreciation on the
building on the date of formation of the partnership is P25,000 and the fair value is
P110,000. For what amount will Lacson's capital account be credited on the books
of the partnership?
a. P100,000
b. P75,000
c. P110,000
d. P25,000
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