- Problem 51 Susan And Suset Are Lawyer S Who Have Been Operating Their Own Separate Practices As Sole Proprietors They 1 (167.12 KiB) Viewed 14 times
Problem 51: Susan and Suset are lawyer's who have been operating their own separate practices as sole proprietors. They decided to combine the two firms as a partnership on January 3, 2010. The following assets were contributed by each: Susan P 350,000 Cash Suset P 350,000 787,500 665,000 Trade receivables Equipment Fixtures 122,500 133,000 161,000 The partners agreed to split profits on the basis of gross cash collections from billing generated from the clients. During 2010, Susan's clients paid the firm a total of P5,250,000 and Suset's clients paid P5,687,500. Expenses for the year were P3,780,000 of which P1,680,000 were attributable to Susan and the balance to Suset. During 2010 Suset withdrew P2,625,000 cash for personal needs and contributed an additional computer valued at P77,000. What is the capital balance of Suset at December 31, 2010? a. P3,112,900 c. P2,016,000 b. P2,937,900 d. P2,482,900