The non-cash ass ets are sold for P10,000 net of liquidation expenses and the liabilities are paid. How much cash will be distributed to each partner? Part 2. Liquidation – Lump Sum The following is the statement of financial position of ABC Partnership before liquidation: P 20,000 Liabilities 50,000 Anthony, capital Benjamin, capital Charlie, capital Cash P 24,000 Non-Cash Assets 20,000 16,000 10,000
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Topic: Liquidation – Lump Sum
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- JCA Partnership is entering into liquidation and you are given the following account balances: Cash 1,100,000 775,000 6,750,000 Liabilities Loan from A Noncash asset 150,000 J, capital (20%) 1,275,000 C, capital (20%) 1,625,000 3.375,000 A, capital (60%) Total liab, and capital Total Asset 7.525.000 7.525.000 During June, noncash asset with a book value of P1,875,000 were sold for P1,600,000. JCA paid P175,000 for the liquidation expenses it incurred and it also paid its liabilities to outsider creditors. However, creditors whose account balances amount to P150,000 decided to condone JCA's liabilities. % of the cash received from the sale of noncash assets were distributed to the partners. What is A's interest after the first cash distribution?1. The balance sheet of the RJ, SJ and TJ partnership, just before liquidation, is as follows: Assets P120,000 Liabilities 50,000 10,000 RJ, loan RJ, capital SJ, capital TJ, capital Total 22,000 30,000 8,000 P120,000 RJ, SJ and TJ share profits 5:3:2 respectively. Certain assets are sold for P80,000. Creditors are paid in full, partners are paid P20,000, and cash withheld for future expenses P10,000. How much cash is to be distributed to the partners? RJ SJ TJ P13,000 P14,250 a. P7,000 b. P5,750 с. Р5,250 d. P7,550 PO PO P14,750 P12,450 PO PO е. None of the aboveSCA Partnership has the following account balances before liquidation: Cash P350,000 Liabilities P1,125,000 Noncash assets 7,375,000 Loan from A 50,000 S, Capital (40%) C, Capital (40%) A, Capital (20%) Loan to C 150,000 1,250,000 Receivable from s 20,000 1,900,000 Expenses 2,230,000 1,000,000 Revenues 4,800,000 During June, some noncash assets were sold that resulted to a loss of P46,125. Liquidation expenses of P175,000 were paid and additional expenses armounting to P90,000 were expected to be incurred through the following months of liquidation of the partnership. Liabilities to outsiders amounting to P875,000 were paid. What is the book value of the noncash assets which were sold for C to receive P555,550?
- pie 6TT UOI: Use the following account balance information for Granobfin Partnership with income ratios of 2:4:4 for Granger, Noble, and Finn, respectively. Assets Liabilities and Owner's Equity Cash $ 56300 Accounts payable $ 126100 Accounts Granger, Capital $138600 receivable 131500 Noble, Capital 48300 Inventory 437400 Finn, Capital 312200 $625200 $625200 Assume that, as part of liquidation proceedings, Granobfin sells its noncash assets for $509900. The amount of cash that would ultimately be distributed to Finn would be $288600. $312200. $512600. $203960.A, B and C partnership had the following balances just before entering liquidation: Cash P10,000 Liabilities P190,000 Non-cash assets 300,000 A, Capital 30,000 В, Сapital 40,000 C, Capital 50,000 Total P310,000 Total P310,000 A, B and C share profits and losses in the ratio of 3:4:3. Non cash assets were sold for P200,000. Liquidation expenses were P12,000. Assume that partner A is solvent up to P3,000 while B and C are both solvent and able to cover deficit in their capital accounts, if any. What amount of cash should be paid to partner CBelow is the pre-liquidation Balance Sheet for Cook, Pichai, & Barra Partners. Cook, Pichai, & Barra Partners Partnership Balance Sheet as of 12/31/20x1 Assets Liabilities and Partners’ Capital Cash $200,000 Liabilities $150,000 Noncash assets 300,000 Cook, Capital 100,000 Pichai, Capital 130,000 Barra, Capital 120,000 Total assets $500,000 Total Liabilities & Partners’ Capital $500,000 At this time, the partners have agreed to liquidate the partnership. Partners’ income/loss sharing ratios are Cook – 50%; Pichai - 25%; and Barra – 25%. In liquidation: Estimated liquidation expenses = $10,000 Partners expect to dispose of noncash assets for $180,000 Required: Using the information above, prepare a Pre-distribution Plan for the partnership, in good form.
- Cash P0Non-Cash assets 85,000Total Assets P 85,000Liabilities 25,000Loan payable to Partner F 11,000Loan payable to Partner G 16,000F, Capital (60% in P/L) 21,000G, Capital (40% in P/L) 12,000Total Liabilities and Equity P 85,000 Case # 1: Lump-sum liquidationAll the non-cash assets are sold for P53,000. Case # 2: Installment LiquidationThe non-cash assets are sold in installments. Settlement of partners' claims shall be made in installments ascash becomes available. In the first sale, three-fourths (3/4) of the non-cash assets are sold for P46,000. Case # 3: Installment LiquidationThe non-cash assets are sold in installments. Settlement of partners' claims shall be made in installments ascash becomes available. In the first sale, 90% of the non-cash assets are sold for P60,000. 1. Under Case # 1: how much is the amount distributable to F?a. P13,800b. P12,800c. P14,800d. P15,8002. Under Case # 1: how much is the amount distributable to G?a. P16,200b. P13,200c. P15,200d. P15,8003. Under…Problem 4: The balance sheet of the partnership of ABCD Co just before liquidation is presented below: A, loan 5,000 27,500 A, capital (40%) B. capital (30%) HA 25,750 34,250 22,500 C, capital (20%) D, capital (10%) Certain assets are sold for P30,000 and this is distributed to the partners. How much cash should C receive?Ideu, the d. P3,200 b. Р3,920 C. P4,500 d. P17,800 42. liquidate. All assets of the partnership just prior to liquidation follows: were liquidated. The condemsed statement of financial position Assets Cash Other assets liabilities and capital P140, 000 10, 000 45, 000 105, 000 200, 000 P500,000 P100, 000 liabilities Matias, loan Matias, capital Pagayanon, capital Pescasiosa, capital Total 400, 000 Total P500, 000 Other assets were sold for P247, 500 realizing a loss of P152, 500. Parties agreed to fully terminate the partnership's business thus, necessitating distribution of cash to partners and in case of capital deficiency, contribution of additional cash. The three partners were all solvent and could answer any capital deficiency. Name the partner and give the corresponding additional cash he had to invest due to his net capital deficiency to finally settle to the liquidation of the partnership. Pagayanon, P44,000 b Pescasiosa, P30, 500 Matias, P16,000 Matias, P6,000 a C
- Before liquidation, the following is the financial position of the partnership W, X, Y and Z: W, capital 275,000 W, loan 50,000 X, capital 225,000 Y, capital 257,500 Z, capital 342,500 P&L ratio is 4:3:2:1, respectively. 300,000 was received from certain assets are sold and are distributed to partners. What cash amount should Z receive? a. 300,000 b. 0 c. 135,834 d. 166,166Problem2. A, B, C Partnership began the process of liquidation with the following balance sheet: Assets Liabilities and Capital Cash P 16,000 Liabilities P 150,000 Non-cash assets A, Capital (30%) B, Capital (20%) C, Capital (50%) 434,000 80,000 90,000 130,000 Total P 450,000 P 450,000 Liquidation expenses are expected to be P12,000. After the liquidation expenses of P12,000 had been paid and the non-cash assets are sold, C had a deficit of P8,000. For what amount were the non-cash assets sold?A, B and C partnership had the following balances just before entering liquidation: Cash P10,000 Liabilities P130,000 Non-Cash Assets 300,000 A, Capital 60,000 B, Capital 40,000 C, Capital 80,000 Total P310,000 Total P310,000 A,B and C share profits and losses in the ratio of 3:4:3. Non cash assets were sold for P200,000. Liquidation expenses were P12,000. Assume that partner A was personally insolvent, B and C were both solvent and able to cover deficit in their capital accounts, if any. What amount of cash should be paid to partner A?