The following balance sheet accounts were taken from the partnership of J&J Co. on March 31, 2020: Cash-P500,000; Other
Posted: Mon May 30, 2022 8:04 am
The following balance sheet accounts were taken from the
partnership of J&J Co. on March 31, 2020: Cash-P500,000; Other
Assets- P3,600,000; Liabilities-P1,040,000; Jerry, Capital
(40%)-P800,000; Jojo, Capital (40%)-P1,300,000 and Jemuel, Capital
(20%)-P960,000. The partnership was liquidated by installment. The
proceeds from the first sale of non-cash assets with a book value
of P1,800,000 amounted to P1,000,000. In the first month, P640,000
of the liabilities and P50,000 of unrecorded liabilities were paid.
The partners also set aside P100,000 for future expenses. How much
is the cash balance after the first installment payment? (2
Points)
P0
P710,000
P500,000
P100,000
partnership of J&J Co. on March 31, 2020: Cash-P500,000; Other
Assets- P3,600,000; Liabilities-P1,040,000; Jerry, Capital
(40%)-P800,000; Jojo, Capital (40%)-P1,300,000 and Jemuel, Capital
(20%)-P960,000. The partnership was liquidated by installment. The
proceeds from the first sale of non-cash assets with a book value
of P1,800,000 amounted to P1,000,000. In the first month, P640,000
of the liabilities and P50,000 of unrecorded liabilities were paid.
The partners also set aside P100,000 for future expenses. How much
is the cash balance after the first installment payment? (2
Points)
P0
P710,000
P500,000
P100,000