Reference no: EM133149409

Questions -

Q1. Filipe and Maria share income equally. During the current year the partnership net income was 40,000. Filipe made withdrawals of 12,000 and Maria made withdrawals of 17,000. At the beginning of the year, the capital account balances were: Filipe capital, 42,000; Maria capital, 58,000. Determine the Filipe's capital account closing balance at the end of the year?

a. 64,500

b. 50,000

c. 76,500

d. 62,000

Q2. On July 1o, 2002, J and P of JP Partnership decided to liquidate their partnership. At the time of liquidation, the statement of financial position accounts consisted of: Cash - P25,000; Non-cash assets - P600,000; Liabilities - P125,000; J Capital - P225,000; P Capital - P275,000. J and P share profits and losses in the capital ratio. J is personally insolvent. Non-cash assets were sold for P350,000. How loss on realization should P receive?

a. P275,000

b. (P25,000)

c. (P37,500)

d. P137,500