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Question - When Mikki and Mylene, partners who share earnings equally, were incapacitated in an airplane accident, a liquidator was appointed to wind up their business. The accounts showed cash, P35,000; other assets, P 110,000; liabilities, P 20,000; Mikki, capital, P 71,000; Mylene, capital, P 54,000. Because of highly specialized nature of the non-cash assets, the liquidator anticipated that considerable time would be required to dispose them. The expenses of liquidating the business (advertising, rent, travel, etc.) are estimated of P10,000.
How much cash can be distributed safely to each partner at this point?
Question - Statement of Cash Flows-Indirect Method. Prepare statement of cash flows, using indirect method of presenting cash flows from operating activities
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