On January 5, 2020, Elsa and Frozen formed a partnership with the following investments: Elsa contribute Cash, P200,000; Furniture and Fixtures, P80,000 while Frozen invested Cash amounting to P100,000 and Land, P350,000. Land was mortgaged to BPI for 50,000. Their agreed profit and loss ratio is 80:20 respectively. If Elsa is required to make his share in equity equal to 60%. How much is the total equity of the partners
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- On December 1, 2020, Louie and Kaye Ann formed a partnership, agreeing to share for profits and losses in the ratio of 2:3, respectively. Louie invested a parcel of land that cost him P25,000. Kaye Ann invested P30,000 cash. The land was sold for P50,000 on the same date, three hours after formation of the partnership. How much should be the capital balance of Louie right after formation?a. P25,000 c. P60,000b. 30,000 d. 50,000Juan, Pedro and Pablo agreed to form a partnership on June 1, 2022. Juan contributed inventory costing P50,000 with fair market value of P80,000; Pedro contributed a building with fair market value of P500,000. The partners agreed to record the building at P400,000. Pablo would like to have a 40% interest in the partnership. How much cash should Pablo invest?D FALCO, D LEVI, D ZEKE formed a partnership on April 1, 2020. They agreed that D FALCO will contribute office equipment with a total fair value of P320,000; D LEVI will contribute delivery equipment with a fair value of P640,000; and D ZEKE will contribute cash. If D ZEKE wants a 1/3 interest in the capital and profits, he should contribute cash in the amount of? Your answer
- On May 1, 2022, AA and BB formed a partnership, agreeing to share profits and losses in the ratio of 2:4, respectively. AA invested a portion of land, acquired at P300,000, which was sold immediately at P500,000. BB invested cash of P1 million. How much should be the capital balance of AA right after the partnership formation?On February 1, 2022, AA and BB formed a partnership and agreed to share profits in the ratio of 4:6, respectively. AA contributed a laptop which cost him P68,000 and was estimated to have a value of P50,000 on date of formation. BB contributed cash of P250,000. How much is the capital account of BB upon formation of the partnership?X and Y formed a partnership on January 1, 2020. X contributed net assets of P500,000 and Y no capital contribution because she will manage the firm on a full time basis. Their partnership agreement to distribute profit were as follows: a) Interest at 5% shall be allowed on the beginning capital. b) Y is to be paid salaries of P10,000 per month. C) Y is to received a bonus of 30% of profit before deducting interest and salaries. d) Profits are to be divided between X and Y in the ratio of 64 There are no withdrawals by either partner during the year. The partnership statement of income contains the following information. Revenues P1,520,000 Expenses (including salary and interest) 820000 Profit P 700,000 How much is the equity of X at year-end? (
- The partnership of Danny and Arlene for the online business during the pandemic earned a net income of P180,000 for 2020. Danny and Arlene contributed P200,000 each and agreed to share the profit at 30% for Danny and 70% for Arlene. The partnership include provisions of P96,000 salary for Arlene as managing partner, and 6% capital interest on contributed capital. How much is the share of Arlene on the profit? Select the correct response: 96,000 138,000 108,000 150,000Juan and Pedro formed a partnership on June 1, 2022. They contributed cash amounting to P 50,000 and P 70,000, respectively. Juan contributed land costing P200,000. The said land has unpaid mortgage of P20,000 which was assumed by the partnership. Juan agreed to let Pedro have a 30% interest in the partnership by reason of his outstanding business expertise. Under the bonus method, Juan’s capital on June 1, 2022 will be:On January 1, 2022, Ana and Bea formed AnBea partnership with a total agreed capital of 5,000,000 and a capital interest ratio of 70:30. The following were ascertained during the year as to distribution of profits and losses: a) A will receive quarterly salaries of P100,000. b) 5% interest on their initial capital c) Any remainder will be shared by their capital interest ratio. At the end of the year, the partnership had a P500,000 credit balance in its income summary account. What is the share in the net income or (loss) of Partner Ana? a. 380,000 b. 440,000 c. 470,000 d. 491,000What is the capital balance of Partner B on December 31, 2020? a. 1,509,000 b. 1,620,000 c. 1,560,000 d. 1,530,000
- A, B and C formed a partnership on June 1, 2019. A is an industrial partner while B and Care capitalist partners with cash contribution of P 80,000 and P120,000, respectively. They share profits in the ratio of 2:5:3 to A, B and C, respectively. If operations for 2019 resulted to a loss of P 140,000, how much is the share of C? (2 Points)Energetic and Faithful decided to form a partnership on June 1, 2021 by investing P100,000 and P150,000 respectively. They agreed that profits are to be divided as follows: • Partners are to receive a 10% interest on beginning capital. • Each partner is to receive an annual salary of P24,000. Energetic, the managing partner, is to receive a bonus equivalent to 10% of the net income after interest, salaries and bonus. • The remaining profit is to be divided equally. Energetic invested P50,000 on August 1 and withdrew cash amounting to P10,000 on December 1. Faithful invested P15,000 on September 1 and withdrew cash amounting to 5,000 in November 1. During the year, the partnership had a net income of P80,000. How much is the share of Energetic in the net income?Mazin and Marwan commenced business as partners on Jan 1, 2020. They contributed RO 60,000, RO 40,000 as their share of capital. The partners decided to share their profits in the ratio of 4:2. Interest on capital was to be provided @ 7.5% p.a. The profits of the firm after providing salary and interest on capital were RO 40,000. Calculate Interest on Capital of Mr Mazin? Ⓒa. 4500 b. 13333.33 OC. 2800 c. Ⓒd. 26666.66