Cye and Dye have just formed a partnership. Cye contributed cash of P126,000 and computer equipment that cost P54,000. The computer had been used in his sole proprietorship and had been depreciated to P24,000. The fair value of the equipment is P36,000. Cye also contributed a note payable of P12,000 to be assumed by the partnership. Cye is to have 60% interest in the partnership. Dye contributed only P90,000 cash. Cye should make an additional investment (withdrawal) of: a.P(76,800) b.P96,000 c.P(15,000) d.P84,000
Cye and Dye have just formed a partnership. Cye contributed cash of P126,000 and computer equipment that cost P54,000. The computer had been used in his sole proprietorship and had been depreciated to P24,000. The fair value of the equipment is P36,000. Cye also contributed a note payable of P12,000 to be assumed by the partnership. Cye is to have 60% interest in the partnership. Dye contributed only P90,000 cash. Cye should make an additional investment (withdrawal) of: a.P(76,800) b.P96,000 c.P(15,000) d.P84,000
Chapter14: Choice Of Business Entity—operations And Distributions
Section: Chapter Questions
Problem 21P
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Cye and Dye have just formed a
Cye should make an additional investment (withdrawal) of:
a.P(76,800)
b.P96,000
c.P(15,000)
d.P84,000
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