A summary of changes in the capital accounts of the Rialubin, Rabena and Dela Cruz partnership fpr 2020, before

closing follow

Balance, Jan. 1, 2020

Investment, Apr. 1
Withdrawal, May 1
Withdrawal, July 1
Withdrawal, Sept 1

Determine the allocation of the 2020 profit to the partners under each of the following independent assumptions:
1. Profit is P48,000 and profit is divided on the basis of average capital balances.
2. Profit is P50,000. Rialubin receives a bonus of 10% of profit before bonusfor managing the business, and the balance to be d
3. Profit is P50,000. Rialubin receives a bonus of 10% of profit after bonus for managing the business, and the balance to be di
4. Loss is P55,000, each partner is allowed 10% interets on beginning capital balances, and the balance to be divided equally.

ANSWER
AVERAGE CAPITAL OF RIALUBIN

DATE CAPITAL BALANCE

1-Jan-20 80,000.00
1-Apr 100,000.00
1-Jul 90,000.00

AVERAGE CAPITAL OF DELA CRUZ

DATE CAPITAL BALANCE

1-Jan 90,000.00
1-Sep 60,000.00

INCOME 48,000

=48,000 * 90,000/240,000
=48,000 * 70,000/240,000
=48,000 * 80,000/240,000
TOTAL

INCOME IS 50,000

BONUS (10% OF 50,000)

REMAINDER
=45,000*80,000/250,000
=45,000*80,000/250,000
=45,000*90,000/250,000

INCOME IS 50,000

BONUS
INCOME BEFORE BONUS 50,000.00 110%
INCOME AFTER BONUS 45,454.55 100%
BONUS 4,545.45 10%

REAMINDER
=45,454.55 * 80,000/250,000
=45,454.55* 80,000/250,000
=45,454.55 * 90,000/250,000

LOSS OF 55,000

INTEREST
=10% OF 80,000
=10% OF 80,000
=10% OF 90,000

REMAINDER (80,000)
=(80,000)/3

Abelon and Hernandez are partners in a business. Abelon's orignal capital cpntribution was P400,000, and He
They agreed to share profits and losses as follows:

As Salaries
As interest on original capital
Reamining profit or losses

Calculate each partner's share of profits and losses, assuming

a. profit was P1,000,000
b. profit was P700,000
c. loss was P80,000
a.

b.

c.
1. Sarmiento and Caleon are partners in a business

Sarmiento and Caleon are partners in a business. Sarmiento's original capitalinvestment was P400,000 and Caleon's was P600

They agreed to share profits and losses as follows:

Sarmiento
Salaries 120000
Interest on original capital 10%
Remaining profits/Losses 3/5

1. If porit for the year was P500,000 what is the share of Sarmiento in the partnership profit?
2. If profit for the year was P300,000, what is the share of Caleon in the partnership profit?
3. If losses for the year were P100,000, what is the share of Sarmiento in the partnership profit?
4. If profit for the year was P150,000, what is the share of Sarmiento in the partnership profit?
5. If profit for the year was P150,000. what is the share of Caleon in the partnership profit?
2. Profit of 140000
Modesto Resultay
Salaries 150,000.00 150,000.00
Interest 30,000.00 40,000.00
Remainder
-44000 -110000
136,000.00

Remainder
Total Salary + Total interest - Profit
Total Salary + Total interest + Loss

Bautista, Pineda, and Feliciano have average capital balances during the year of P1,000,000, P400,000, and P1,200,000, respec
They are paid 10% interest on their average capital balances, each receives a P240,000 salary, and they share remaining profit

a. 1,580,000 profit
Bautista Pineda Feliciano
Salaries 240,000.00 240,000.00 240,000.00
Interest 100,000.00 40,000.00 120,000.00
Remainder
600,000*3/6 300,000.00
600,000*2/6 200,000.00
600,000*1/6 100,000.00
640,000.00 480,000.00 460,000.00

b. 500,000 profit

Bautista Pineda Feliciano

Salaries 240,000.00 240,000.00 240,000.00
Interest 100,000.00 40,000.00 120,000.00
Remainder
-480,000*3/6 (240,000.00)
-480,000*2/6 (160,000.00)
-480,000*1/6 (80,000.00)
 100,000.00 120,000.00 280,000.00

c. 100,000 lost
Bautista Pineda Feliciano
Salaries 240,000.00 240,000.00 240,000.00
Interest 100,000.00 40,000.00 120,000.00
Remainder
-1,080,000*3/6 $ (540,000.00)
-1,080,000*2/6 $ (360,000.00)
-1,080,000*1/6 $ (180,000.00)
(200,000.00) (80,000.00) 180,000.00
partnership fpr 2020, before closing follows:

Rialubin Rabena
80,000.00 80,000.00
20,000.00
(15,000.00)
(10,000.00)

90,000.00 65,000.00

ng independent assumptions:

ging the business, and the balance to be divided on the basis of beginning capital balances.
ing the business, and the balance to be divided on the basis of beginning capital balances.
s, and the balance to be divided equally.

# OF MONTHS UNCHANGED AVERAGE CAPITAL

3 20,000.00
3 25,000.00
6 45,000.00
average capital 90,000.00

# OF MONTHS UNCHANGED AVERAGE CAPITAL

8 60,000.00
4 20,000.00
average capital 80,000.00

RIALUBIN RABENA DELA CRUZ TOTAL

18,000.00 18,000.00
14,000.00 14,000.00
16,000.00 16,000.00
18,000.00 14,000.00 16,000.00 48,000.00

RIALUBIN RABENA DELA CRUZ TOTAL

5,000.00 5,000.00
 14,400.00 14,400.00
14,400.00 14,400.00
16,200.00 16,200.00
19,400.00 14,400.00 16,200.00 50,000.00

RIALUBIN RABENA DELA CRUZ TOTAL

4,545.45 4,545.45

14,545.46 14,545.46
14,545.46 14,545.46
16,363.64 16,363.64
19,090.91 14,545.46 16,363.64 50,000.00

RIALUBIN RABENA DELA CRUZ TOTAL

8,000.00 8,000.00
8,000.00 8,000.00
9,000.00 9,000.00

(26,666.67) (26,666.67) (26,666.67) (80,000.00)

(18,666.67) (18,666.67) (17,666.67) (55,000.00)

apital cpntribution was P400,000, and Hernandez was P600,000.

Abelon Hernandez
360000 480000
10% 10%
2/3 1/3
 abelon hernandez
Salaries 360,000.00 480,000.00
Interest
=10% of 400,000 40,000.00
=10% of 600,000 60,000.00
Remaining Profit
=60,000 *2/3 40000
=60,000 *1/3 20000
440,000.00 560,000.00

Income Summary 1,000,000.00

Abelon Capital
Hernandez Capital
To record distribution of profit

abelon hernandez
Salaries 360,000.00 480,000.00
Interest
=10% of 400,000 40,000.00
=10% of 600,000 60,000.00
Remaining profit
=(240,000)2/3 (160,000.00)
=(240,000)1/3 (80,000.00)
240,000.00 460,000.00

Income Summary 700,000.00

Abelon Capital
Hernandez Capital
To record distribution of profit

abelon hernandez
Salaries 360,000.00 480,000.00
Interest
=10% of 400,000 40,000.00
=10% of 600,000 60,000.00
Remaining Loss
=(1,020,000)2/3 (680,000.00)
=(1.020,000)1/3 (340,000.00)
(280,000.00) 200,000.00
 Abelon Capital 280,000.00
Hernandez Capital
Income Summary
To record distribution of losses

ent was P400,000 and Caleon's was P600,000.

Caleon
180000
10%
2/5

ship profit?

Sarmiento Caleon Total

Salaries 120000 180000 300000
Interest 40000 60000 100000
Remainder
-300000 -300000
-200000 -200000 -500000
-140000 40000 -100000
 Cadelina Total
150,000.00 450,000.00
20,000.00 9,000.00

66000 -340000
119,000.00

00,000, P400,000, and P1,200,000, respectively.

00 salary, and they share remaining profits and losses in a 3:2:1 ratio, respectively.

Income Summary
Total Bautista Capital
720,000.00 Pineda Capital
260,000.00 Feliciano Capital
To record distribution of Profit

600,000.00
1,580,000.00

Total
720,000.00 Income Summary
260,000.00 Bautista Capital
Pineda Capital
Feliciano Capital
To record distribution of Profit
(480,000.00)
 500,000.00

Total
720,000.00 Bautista Capital
260,000.00 Pineda Capital
Income Summary
$ (540,000.00) Feliciano Capital
(360,000.00) To record distribution of Profit
(180,000.00)
(100,000.00)
Dela Cruz Total
90,000.00 250,000.00
20,000.00
(15,000.00)
(10,000.00)
(30,000.00) (30,000.00)
60,000.00 215,000.00

AVERAGE CAPITAL OF RABENA

DATE CAPITAL BALANCE

1-Jan 80,000.00
1-May 65,000.00

Income Summary
Rialubin Capital
Rabena Capital
Dela Cruz Capital
To record distribution of profit.

Income Summary
 Rialubin Capital
Rabena Capital
Dela Cruz Capital
To record distribution of profit.

Income Summary
Rialubin Capital
Rabena Capital
Dela Cruz Capital
To record distribution of profit.

Rialubin Capital
Rabena Capital
Dela Cruz Capital
Income Summary
To reocrd distribution of
losses.
 total
840,000.00

40,000.00
60,000.00

40000
20000
1,000,000.00

440,000.00
560,000.00

total
840,000.00

40,000.00
60,000.00

(160,000.00)
(80,000.00)
700,000.00

240,000.00
460,000.00

total
840,000.00

40,000.00
60,000.00

(680,000.00)
(340,000.00)
(80,000.00)
200,000.00
80,000.00
1,580,000.00
640,000.00
480,000.00
460,000.00

500,000.00
100,000.00
120,000.00
280,000.00
200000
80000
100000
180000
# OF MONTHS UNCHANGED AVERAGE CAPITAL
4 26,666.67
8 43,333.33
average capital 70,000.00

48,000.00
18,000.00
14,000.00
16,000.00

50,000.00
 19,400.00
14,400.00
16,200.00

50,000.00
19,090.91
14,545.46
16,363.64

18,666.67
18,666.67
17,666.67
55,000.00