How much cash is to be distributed to AA?
Q: non-cancellable commitment to purchase 120,000 barrels of aviation fuel for P35 per barrel on March ...
A: The answer has been stated below.
Q: interest rate for the first five-year term of a $400,000 mortgage loan is 3.3% compounded semi-annua...
A: The monthly payment of mortgage consist of payment for principal and interest payment that depends o...
Q: A firm bought an equipment for P56,000. Other expenses including installation amounted to P4,000. Th...
A: All cost that are incurred in the acquisition of asset will be capitalised. The depreciation as per ...
Q: What amount can Seth claim as an itemized deduction for taxes paid during the current year? a.$9,100...
A: The amount Seth can claim as an itemized deduction for taxes paid during the current year: b. $10,00...
Q: The post-closing trial balances of two proprietorships on January 1,2022, are presented below. Soren...
A: The question is based on the concept of financial accounting.
Q: what are the 4 major cost flow assumptions in accounting?
A: In cash flow assumptions we report inventory cost as cost of goods sold
Q: items of income or loss in 2019 and does not itemized her deductions, what are the tax consequences ...
A: When a corporate entity purchase its own shares/stocks from its shareholders either during lifetime ...
Q: s to acquire all of XYZ's P10 par value shares ar ment of financial positic e below) Based on the
A: Ordinary Shares of Octane = P150000 Par Value per Share = P5 Number of Share = P150000 ÷...
Q: Multiple choice: 1. This includes money or its equivalent that is readily available for unrestricted...
A: Since you have asked multiple questions, we will solve the first question for you. If you want any s...
Q: A company has two departments A & B. Overhead is applied based on direct labour hours in department ...
A: Under-applied Overheads=Actual overheads-Applied overheads Over-applied Overheads=Applied overheads-...
Q: 1. In relation to March 1 transaction, the necessary adjusting journal entry includes
A: As per our protocol we provide solution to the one question only but as you have asked multiple choi...
Q: heat water for his main home. What is Jeff's credit for his 2021 purchases?
A: A credit purchase is when you use your Card or Account Number to buy or lease items and/or services....
Q: what is the gross profit earned?
A: Gross profit refers to the profit earns by the company for selling goods and service. It is the diff...
Q: (The following information applies to the questions displayed below) Alden Company's monthly data fo...
A: Variable cost refers to those expenses that vary with the change in the level of output of a product...
Q: Atlanta Systems produces two different products, Product A, which sells for $650 per unit, and Produ...
A: Activity rate = Total cost for the activity / Total no. of the activities where, Total no. of the ac...
Q: Pharoah's Wind Toys manufactures decorative kites, banners, and windsocks. During the month of Janua...
A:
Q: Music, Inc. had the following beginning and ending values in its three inventory accounts: Raw Mater...
A: Gross profit refers to the difference of total revenue and direct costs associated with the producti...
Q: Multiple choice: 1. The term ‘present obligation’ connotes A. Liability B. Asset C. Income D. Equity...
A: Obligation is a term used for denoting that a person is in a condition of being legally bounded.Owne...
Q: Phil and Linda are 25-year-old newlyweds and file a joint tax return. Linda is covered by a retireme...
A: The maximum contribution limit to Traditional IRA is $ 6000 per person or $ 12000 if MFJ. The phaseo...
Q: You are an accountant working for a company that has recently decided to incorporate. The company ha...
A: Solution A journal is a company's official book in which all business transaction are recorded in ch...
Q: Q8: What amount will Music, Inc. report as 2021 Cost of Goods Sold on its year ending 2021 Income St...
A: The cost of goods sold is the total amount your company paid as a cost directly related to the sale ...
Q: Which of the following evidence gathering techniques is a CPA most likely to be utilized when perfor...
A: Audit Evidence: The information gathered by an auditor in order to determine the correctness and con...
Q: (A) The requirement is to find the best statement concerning an auditor’s assessment of contro...
A: Control risk alludes to the probability that a large misrepresentation originating from a caused by ...
Q: True or false If you sell an asset for more than its salvage value you can record a loss for the di...
A: Depreciation means the loss in value of assets because of usage of assets , passage of time or chang...
Q: Prepre Journal Entries May Made cash sales of $7,100; the cost of the inventory was $3,600. 1 5 Purc...
A: Journal entry is a process of recording and classifying business transactions into books of accounts...
Q: Compute the ending inventory using the dollar value LIF0 method for 2019, 2020, and 2021. Do not rou...
A: Inventory valuation refers to the methods used by the company to determine the value of its inventor...
Q: MULTIPLE
A:
Q: Assume that DBP Leasing Corp. and Minasugbo Inc. sign a lease contract effective on January 1, 2019 ...
A: Initial measurement: Year Annual lease payments (P) Present value factor @4% Present value (P) ...
Q: On January 2, 2021, X Co. acquired all the ordinary share of Y Co. for P2,060,000. On that date, Y C...
A: Goodwill arises in acquisition of a company when the purchase consideration paid is greater than ide...
Q: Multiple choice: 1. You opened up a business and invested ₱5M cash as the business’ initial capital....
A: The correct option is (A) Cash As a new business is opened and capital is contributed, cash balanc...
Q: PROBLEM The following data were taken from the Statement of Affairs of ABC Company: P175,000 90,000 ...
A: Liquidation of the company means cessation or end of the business. Under this, first all assets are ...
Q: Fill in the blanks with these terms: tangible asset, income statement, cash, statement of cash flow,...
A: A = L + NA is known as the Accounting Equation. Financial Accounting consist largely of keeping th...
Q: ker Rs. 2,600, Laxman Rs. 500); Creditors Rs. 7,100 (Reddy & Co. Rs. 3,020, Kishore Rs. 4,080); Capi...
A: The ledgers are the accounting books of the organization which record all of the financial data incu...
Q: PAYROLL SUMMARY Quarter 1 Quarter 2 $3,200 Bill Adams $ 7,300 12,800 Rich Haines 7,400 Alice Smooth ...
A: SUTA (State Unemployment Tax Act) signifies the taxes which are paid at the state level. It is a pay...
Q: a. The home office has billed the branch the amount of P37,500 for the merchandise, which was in tra...
A:
Q: The term ‘economic resource’ connotes A. Liability B. Asset C. Equity D. Income
A: Economic resources are essential for business operations.
Q: [The following information applies to the questions displayed below.] Doyle Company issued $251,00...
A: Financial information refers to the set of statements that the companies are required to be prepared...
Q: Capital Gains and Casualty Gains and Losses (LO 8.9) An office machine used by Josie in her accounti...
A: As the machine is not insured, there is no way to recover the amount lost.
Q: 15–8. (Computing interest tax savings) Presently, H. Swank, Inc., does not use any finan- cial lever...
A: Debts- Debt is something, generally money, on loan by one party from another. Debt is used by variou...
Q: Cavaliers Corporation is selling audio and video appliances. The company’s fiscal year ends on March...
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: From the following particulars prepare a balance sheet for Health and Wellness Hospital as at Decemb...
A: Since basic accounting equation is Total assets = Total liabilities + Owners equity
Q: True or false SL depreciation assumes that an equal share of the total depreciation is not taken ea...
A: The depreciation expense is charged on fixed assets as reduced value of the fixed asset with usage a...
Q: 1. The business receives billing for electricity used during the period. Before the bill is paid, it...
A: Note:- Since you have asked multiple questions, we will solve the first question for you. If you wan...
Q: You are auditing the Digos People’s Cooperative with a substantial annual sales, all of which are bi...
A: Fraud is deception with the intent of obtaining an illegal advantage for the perpetrator or deprivin...
Q: Question 6
A: Assets Assets are resources that are controlled which results from prior transactions that are expec...
Q: cant amount of inventory shrinkage was discovered. The amount is so large that it will result in a s...
A: The term "code of conduct and ethics" refers to the broad principles or set of norms established by ...
Q: Determine the adjusted balance of the Home office account on the books of the branch as of December ...
A: ABC Company has a branch the balance of which in the home office books show a balance of P1,50,000. ...
Q: Prepare all relevant entries relating to the equipment for the period from 1 July 2016 to 30 June 20...
A: Journal entry is recorded at the time when the asset is purchased in the books of the accounts on th...
Q: X, Y, and Z formed a partnership on Jnauary 1, 2021, and contributed P150,000; P200,000; P300,000, r...
A: Calculation of Closing Balance of Capital Balance of X X's Ending Capital = Beginning Capital + Addi...
Q: Management is characterized as an internal or external user of accounting information?
A: The accounting information comprises of financial statements of the business such as income statemen...
Partnership Accounting
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings, admission of a new partner, etc.
Partner Admission and Withdrawal
A partnership is a kind of arrangement between two or more people whereby they agree to manage the business operations and share its profits and losses in an agreed ratio between them. The agreement that is drafted and signed by the partners of the firm is termed as a partnership deed and contains various important clauses agreed between the partners such as profit/loss sharing, interest on capital, remuneration allocation of each partner, drawings of a partner, etc.
The
Assets 640,000
Liabilities 240,000
AA, Loan 64,000
AA, Capital 168,000
BB, Capital 120,000
CC, Capital 48,000
Total 640,000
AA, BB and CC share profits 5:3:2 respectively. Certain assets are sold for P440,000. Creditors are paid in full, partners are paid P140,000 and cash of P60,000 is withheld for contingencies. How much cash is to be distributed to AA?
Step by step
Solved in 2 steps
- The statement of financial position of L, M, and N just before liquidation shows the following:Cash P 20,000 ; Non-cash Assets 240,000 ; Accounts Payable 40,000 ; N, Loan 40,000 ; L, Capital 62,000 ; M, Capital 88,000 ; N, Capital 30,000L, M, and N share profits and losses in the ratio of 3:2:5, respectively. The non-cash assets were sold for P160,000. How much cash is received by N in full settlement of his total interest in the partnership, including loan?The statement of financial position of the firm of Wanda, Wendy and Wilma j Numbers 19- 20 are based on the following: Name: before liquidation shows the following: Program- P240,000 Multiple C Assets 1. Sharc acco ovors ods P100,000 Liabilities muous i Wanda, Loan no 0 20,000 Wanda, Capital Wendy, Capital Wilma, Capital 44,000 60,000 000,0010 The 16,000 P240,000 120 000 00 0,001 Total acc rec Wanda, Wendy and Wilma share profits 5: 3: 2 respectively. Certain assets worth P160,000 are sold at book value. Creditors are paid in full, partners paid P40,000 and cash of P20,000 is withheld pending future developments norh 0ONT 19. How much cash is to be distributed to the partners? to oadn Wanda Wendy Wilma a. P14,000 b. P11,500 c. P10,500 d. P15,100 P26,000 0) 30,of 1 2. P28,500 P29,500 P24,900 e. None of the above. ve de do sno oa ors 000.00 orHoe stes deso-on sti 20. How much cash is to be distributed to the partners if they share profits at a tan of 3:6:1 respectively? Wanda Wendy Wilma…Item Nos. 8 and 9 are based on the following information: Before the realization of assets and payment of liabilities, the capital balances of A, B, and C are P 12,000, P 18,000, and P 20,000, respectively. They share profits in the ratio of 4:1:5. 8. If B received P 17,200 during the liquidation, how much did A receive? a. P 8,000. C. P 9,000. b. P 8,800. d. P 12,000. 9. How much cash was distributed to the partners? a. P 40,000. C. P 48,000. 1 b. P 42,000. d. P 50,000. 1
- Partners Ong, Rodriguez, Pamittan and Reyes who share profits andlosses at 30%, 30%, 20% and 20%, respectively, decided to liquidate. Allpartnership assets are to be converted into cash. Before liquidation, thecondensed statement of financial position follows:Cash P100, 000 Liabilities P750, 000Other Assets 1, 800, 000 Rodriguez, Loan 60, 000Reyes, Loan 50, 000Ong, Capital 420, 000Rodriguez, Capital 315, 000Pamittan, Capital 205, 000Reyes, Capital 100, 000Total P1, 900,000P1, 900,000The non-cash assets realized P800, 000, resulting to a loss of P1, 000,000. All the partners are solvent, and can contribute any additional cash tocover any deficiency. In the process of liquidation, deficiencies will occur andwill require additional investment as follows:a. Pamittan at P7, 500b. Reyes at P50, 000c. Reyes and Pamittan for P50, 000 and P7, 500, respectivelyd. None45. ABCD's balance sheet before liquidation shows the following figures: In $ Activities 90,000 Liabilities 20,000 Loans A = 5,000 Capital A = 20,000 Capital B = 20,000 Capital C = 20,000 Capital D= 5,000 A, B, C, D share their respective profits in a 2:1:1:1 ratio Certain assets are sold for $35,000 The creditors were paid in full, the partners were paid $10,000, and a cash sum of $5,000 was withheld pending future developments. Prepare the journal entries needed to record the above tra of cash to partners. tions Includes the distributionThe balance sheet of the proprietorship of Jacob as of June 30, 2018 showed the following assets andliabilities:Cash P 40,000Accounts Receivable 53,600Inventory 88,000Equipment 65,600Accounts Payable 63,520The cash balance included a 200- share certificate of BW Resources common at acquisition cost of P 1,600; the current market quotation is 70 per share. Of the accounts receivable, an estimated 5% is considered to be doubtful of collection. Certain inventory items, booked at a cost of P22,960, are currently worth P16,000. Depreciation has not been recorded; the equipment, acquired two years ago, has a remaining useful life of about eight more years. Prepaid expense of P 12,800 and accrued expense of P 6,120 have not been properly recognized. Emily and Bert will join Jacob in a partnership. Jacob will invest the net assets of his business, after effecting the appropriate adjustments, and he will be allowed credit for goodwill equal to 10% of his initial capital credit. Emily and Bert…
- 1. Done Partnership is undergoing liquidation. Information on Done is as follows: 20,000 Accounts payable 60,000 Payable to B 10,000 A; Capital (60%) 120,000 B, Capital (40%) 290,000 Cash 30,000 Accounts receivable Receivable from A 20,000 250,000 Inventory Equipment, net 200,000 Total 500,000 Total Liab. & Equity 500,000Dwani Ltd acquired all the issued shares (cum div.) of Power Ltd for $653 000 on 1 January 2022. At that date, the equity of Power Ltd was recorded as follows. Share capital $ 400 000 General reserve 88 000 Retained earnings 90 000 On 1 January 2022, the records of Power Ltd showed that the company had previously recorded a goodwill at cost of $15 000. Further, Power Ltd had a dividend payable of $25 000, the dividend to be paid in March 2022. All other assets and liabilities were carried at amounts equal to their fair values at the acquisition date, except some inventories recorded at $20 000 below their fair value. Also, Dwani ltd identified at the acquisition date a patent with a fair value of $45 000 that Power Ltd has not recorded in its own accounts. Required Prepare the acquisition analysis on 1 January 2022. Prepare the consolidation worksheet entries for Dwani Ltd’s group on 1 January 2022.…QL Unhappy Ltd is in liquidation. After identifying all assets and liabilities, the liquidator prepared the balance sheet as at 31 October 2019 below, based on the company's records. Preference shares have preference as to dividends and repayment of capital. All ordinary shares rank equally. • Liquidator's fees and expenses together amounted to $23,000. The nen-cash assets realised in total $478,000 of which $190,000 was from the sale of buildings. Required: Prepare ONLY the Receipts and Payments ledger account related to the final liquidation of Unhappy Ltd ( payments would be made by the liquidator ), and show the preference order in which Include all workings and calculations in your answer. Unhappy Ltd (Iin liquidation) Balance Sheet as at 31 October 2019 24 Current assets 2,000 68,000 84,000 Cash in hand Accounts receivable 154,000 Inventory Non-current assets 110,000 250,000 310,000 Land Buildings (net) Plant and machinery Goodwill 26,000 696,000 850,000 Total assets Liabilities…
- Problem1. Assume the following data for ABC Partnership had the following condensed balance sheet just before the liquidation on November 1, 2020: Assets Liabilities and Capital P 24,000 P 12,000 Cash Liabilities Non-cash assets 84,000 A, Loans A, Capital (30%) 2,400 9,600 B, Capital (50%) 48,000 36.000 C. Capital (20%) Total P108,000 P108.000 Liquidation expenses paid amounted to P1,000. Required: Compute for the total payment for each partner (including loans) using different assumptions: 1. Non-cash assets were realized at P 96,000. 2. Non-cash assets were realized at P36,000. The personal assets and liabilities of the partners on this date are as follows: Personal assets Personal liabilities A P288,000 216,000 108,000 P240,000 228,000 108,000 ВOn 1 July 2022, Kangeroo Ltd acquired all the issued shares of Koala Ltd, paying $60,000 cash and transferring 50,000 of its own shares to Koala Ltd's former shareholders. At that date, the financial statements of Koala Ltd showed the following information. Equity portion of Statement of Financial Position as at 1 July 2020: Share capital $50 ,000 General reserve 50 ,000 Retained earnings 80 ,000 All the assets and liabilities of Koala Ltd were recorded at amounts equal to their fair values at the acquisition date. The fair value of Kangeroo Ltd's shares at acquisition date was $3 per share. Kangeroo Ltd incurred $17,500 in acquisition-related costs that included $5,000 as share issue costs. Prepare the acquisition analysis at 1 July 2022 and the journal entries for Kangeroo Ltd to recognise the investment in Koala Ltd at 1 July 2022. and also Prepare the consolidation worksheet entries for Kangeroo Ltd's group at 1 July 2022.A Statement of Realization and Liquidation has been prepared for Promise Fulfilled Company. The totals are given below: Assets to be realized 60,000 Liabilities assumed 50,000 Assets acquired 40,000 Liabilities not liquidated 65,000 Assets not realized 80,000 Supplementary credits 110,000Liabilities to be liquidated 80,000 Supplementary charges ? Retained earnings increased by P25,000. The beginning balance of Share Capital and Retained Earnings are P100,000 and (P40,000), respectively. How much is the ending cash balance?