Reference no: EM133120885
Question - On December 31, 2018, the Statement of Financial Position of ABC Partnership with profit or loss ratio of 5:3:2 of respective partners A, B and C showed the following information:
|
Cash
|
1,600,000
|
Total Liabilities
|
2,000,000
|
|
Noncash assets
|
1,400,000
|
A, Capital
|
100,000
|
|
|
B, Capital
|
500,000
|
|
|
C, capital
|
400,000
|
On January 1, 2019, the partners decided to liquidate the partnership in installment. All parents are legally declared to be personally insolvent.
As of January 31, 2019, the following transactions occurred:
- Noncash assets with a carrying amount of P1,000,000 were sold at a gain of P100,000.
- Liquidation expenses for the month of January amounting to P50,000 were paid.
- It is estimated that liquidation expenses amounting to P150,000 will be incurred for the month of February, 2019.
- 20% of the liabilities to third persons were settled.
- Available cash was distributed to the partners.
As of February 28, 2019, the following transactions occurred:
- Remaining noncash assets were sold at a loss of P100,000.
- The final liquidation expenses for the month of February amounted to P100,000.
- The remaining liabilities to third persons were settled.
- Remaining cash was finally distributed to the partners.
Required -
What is the amount of cash received by partner C on January 31, 2019?
What is the share of B in the maximum possible loss on January 31, 2019?
What is the amount of total cash withheld on January 31, 2019?
What is the amount of cash received by partner A on February 28, 2019?