A and B have capital balances of P150,000 and P180,000, respectively. C is to invest P60,000 for 15% in the partnership interest and also in the profit and loss. There is an undistributed net income in the amount of P80,000. Partners A and B share profit and loss 65.35. 1. How much is the capital credit of C upon his admission? 2.How much is the bonus to partner A from partner C? 3.If equipment is overvalued, how much is the share of partner B in the overvaluation of the equipment?

A and B have capital balances of P150,000 and P180,000, respectively. C is to invest P60,000 for 15% in the partnership interest and also in the profit and loss. There is an undistributed net income in the amount of P80,000. Partners A and B share profit and loss 65.35. 1. How much is the capital credit of C upon his admission? 2.How much is the bonus to partner A from partner C? 3.If equipment is overvalued, how much is the share of partner B in the overvaluation of the equipment?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter15: Partnership Accounting

Section: Chapter Questions

Problem 3EA: The partnership of Tasha and Bill shares profits and losses in a 50:50 ratio, and the partners have...

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