Reference no: EM132776399

Questions -

Q1. Ace, Boy and Cid are partners sharing profits in the ratio of 3:3:2. On July 31, their capital balances are as follows: Ace - P700,000, Boy - P500,000, and Cid - P400,000. The partners agree to admit Deo on the following agreement: (a) Deo is to pay Ace P500,000 for ½ interest of Ace's interest; (b) Deo is also to invest P400,000 in the partnership; (c) The total capital of the partnership is to be P2,400,000, of which Deo's interest is to be 25%. What is the capital balance of Deo after his admission?

Q2. Partners Chito and Ditas share profits in the ratio of 6:4, respectively. On December 31, 2012, their capital balances were: Chito, P120,000 and Ditas, P100,000. On that date, Meng was admitted as partner with one-third interest in capital and profits for an investment of P80,000. The new partnership began in 2012 with total capital of P300,000. Immediately after Meng's admission, Chito's capital should be?

Q3. Cen, Deng and Lala are partners with capital balances on December 31, 2012 of P300,000, P300,000 and P200,000, respectively. Profits are shared equally. Lala wishes to withdraw and it is agreed that she is to take certain furniture and fixture with second hand value of P50,000 and note for the balance of her interest. The furniture and fixture are carried in the books at P65,000. Brand new, the furniture and fixture may cost P80,000. Lala's acquisition of the second-hand furniture will result in the increase or reduction in the capital of the remaining partners in the amount of?

Q4. Evelyn and Lorie Ann are partners sharing profits and loss in the ratio 3:2 with capital balances of P60,000 and P20,000, respectively. They decided to form a new partnership with Vivian, who invested land acquired at P12,000 but have a current value of P15,000, for a 20% capital interest in the new partnership. The partnership, named as LOVE Unlimited, elected to use the bonus method to record the admission of Vivian. Vivian's capital account should be credited for?

Q5. Lorie Ann and Bernadette contributed P24,000 and P48,000, respectively to form a partnership and the agreed to share profits in the ratio 1:2 respectively. During the first year of operations, profit amounted to P16,290; Lorie Ann withdrew P5,050 and Bernadette P8,000. Rose is admitted as a new partner to receive 25% interest in the partnership upon payment of P30,000 to Lorie Ann and Bernadette. If the capital balances of Lorie Ann and Bernadette conform to their profit and loss ratio after the admission of Rose, how much from the P30,000 paid will be received by Lorie Ann?

Q6. The partners' capital (income-sharing ratio in parenthesis) of Fiona, Shrek, Donkey and Puss on May 31, 2014, was as follows: Fiona (20%), P60,000; Shrek (20%), P80,000; Donkey (20%), P70,000; Puss (40%), P40,000. On May 31, 2014, with the consent of Fiona, Shrek and Puss, Donkey retired from the partnership and was paid P50,000 cash in full settlement of his interest in the partnership. Determine the capital balance of Shrek after the retirement of Donkey assuming the bonus approach.

Q7. Julia, Alpha and Ynes are partners who share profits and losses in a 5:3:2 ratios and on January 1 of the current year, have capital balances of P90,000, P160,000 and P200,000, respectively. Ynes withdrew from the partnership on July 1 of the current year and the partners agreed that, as of this date, certain inventory items would have to be revalued at P70,000 from their recorded cost of P50,000. For the 6-month period ending June 30 of the current year, the partnership realized a net income of P130,000. The partners decided that Ynes should be paid P245,000 for her interest. The payment to Ynes included bonus from remaining partners amounting to?