Solution-Prepare journal entries for partnership liquidation

Prepare journal entries for partnership liquidation

Reference no: EM133173048

Question - Tito, Vic and Joey, who share profits and losses in the ratio of 40%, 40% and 20%, respectively, decided to liquidate their partnership on January 31, 2022. Prior to the partnership's liquidation, their condensed Statement of Financial Position shows the following account balances:

Cash	P12,800	Liabilities	P71,680
Other assets	217,600	Vic, Loan	3,200
		Joey, Loan	5,120
		Tito, Capital	60,800
		Vic, Capital	38,400
		Joey, Capital	51,200
TOTAL	P230,400	TOTAL	P230,400

Case: The Other Assets were sold for P118,400.

Required - For each case, prepare all necessary journal entries for the partnership's liquidation. Use a statement of liquidation as a solution to the case.

Reference no: EM133173048

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Prepare journal entries for partnership liquidation

Reference no: EM133173048

Reference no: EM133173048

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