After all noncash assets have been converted to cash in the liquidation of MM Partnership, the ledger contains the following account balances: Debit balances: Cash: P 34, 000; Mae, Capital: P 8, 000; Credit balances: A/P: P 25, 000; Mae, Loan: P 9, 000; Mila, Capital: P 8, 000. After paying the A/P of P25, 000, available cash should be distributed to: A. P 8, 000 to Mae and P 1, 000 to Mila b. P 1, 000 to Mae and P 8, 000 to Mila c. P 9, 000 Mae, Loan d. P 4, 500 each to Mae and Mila e. answer not given
After all noncash assets have been converted to cash in the liquidation of MM Partnership, the ledger contains the following account balances: Debit balances: Cash: P 34, 000; Mae, Capital: P 8, 000; Credit balances: A/P: P 25, 000; Mae, Loan: P 9, 000; Mila, Capital: P 8, 000. After paying the A/P of P25, 000, available cash should be distributed to: A. P 8, 000 to Mae and P 1, 000 to Mila b. P 1, 000 to Mae and P 8, 000 to Mila c. P 9, 000 Mae, Loan d. P 4, 500 each to Mae and Mila e. answer not given
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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18. After all noncash assets have been converted to cash in the liquidation of MM
A. P 8, 000 to Mae and P 1, 000 to Mila
b. P 1, 000 to Mae and P 8, 000 to Mila
c. P 9, 000 Mae, Loan
d. P 4, 500 each to Mae and Mila
e. answer not given
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