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Question - Partners YY, BB and CC share profits and losses in a 5:3:2 ratio, respectively. YY wishes to leave the partnership, so the assets are revalued and are found to be overvalued by P60,000. Each partner had a capital balance of P200,000 prior to YY's notification of withdrawal.
Required -
1. Prepare the journal entry to record the revaluation of assets.
2. Compute the amount that YY should be allowed to withdraw from the partnership.
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