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Chapter 4 Assignment 2

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Gedelle Marie Galera
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561 views

Chapter 4 Assignment 2

Uploaded by

Gedelle Marie Galera
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Installment: Liquidation

De Guzman, Seechua &


Cash Priority Priog
January 31, 202

Capital Balances
Add: Loan Balances
Partner's Total Interest
Divide by: P/L Ratio
Loss Absorption Balance
Priority 1: Seechua
Balance
Priority 2: Seechua & Longalong
Balance

Priority 1:
Priority 2:
If De Guzman received 4,000
Total

If De Guzman received 13,000

Total
De Guzman, Seechua & Longalong
Cash Priority Priogram
January 31, 2023

De Guzman Seechua Longalong Cash Priority Payment


20,000 25,000 9,000 De Guzman Seechua Longalong

20,000 25,000 9,000


57% 29% 14%
35,088 86,207 64,286
21,921 6,357.09
35,088 64,286 64,286
29,198 29,198 8,467 4,088
35,088 35,088 35,088 14,825 4,088

De Guzman Seechua Longalong Total


6,357 6,357
8,467 4,088 12,555
4,000
29,120.03 14,815.45 7,152.29
33,120.03 29,639.96 11,240.01

13,000
23,990.03 12,205.45 5,892.29
36,990.0289 12,205.45 5,892.29
Installment: Liquidation
Valdez, Navarro, and Pamittan
Cash Priority Priogram
January 31, 2023

Valdez
Capital Balances 140,000
Add: Loan Balances 60,000
Partner's Total Interest 200,000
Divide by: P/L Ratio 40%
Loss Absorption Balance 500,000
Priority 1: To Valdez 100,000
Balance 400,000

Entries:
1) Sales of Non-Cash Assets
Cash
Loss on Realization
Non-Cash Assets

Distribution of Loss on Realization based on Partner's P/L


Valdez, Capital
Navarro, Capital
Pamittan, Capital
Loss on Realization

2) Sales of Non-Cash Assets


Cash
Loss on Realization
Non-Cash Assets

Distribution of Loss on Realization based on Partner's P/L


Valdez, Capital
Navarro, Capital
Pamittan, Capital
Loss on Realization

3) Payment of Insolvent Partners


Cash
Loan Receivable-Navarro

4) Distribution of Cash to Partners


Valdez, Capital
Pamittan, Capital
Cash
dez, Navarro, and Pamittan
Cash Priority Priogram
January 31, 2023

Navarro Pamittan Cash Priotity Payment


-70,000 80,000 Valdez Navarro Pamittan
-50,000
-120,000 80,000
40% 20%
- 300,000 400,000
40,000
- 300,000 400,000 40,000

140,000
40,000
-Cash Assets 180,000

tion based on Partner's P/L


16,000
16,000
8,000
40,000

50,000
10,000
-Cash Assets 60,000

tion based on Partner's P/L


4,000
4,000
2,000
10,000

30,000
30,000

166,666
63,333
229,999

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