A business owner by Chary was short of cash and she decided to form a partnership with Deli and Ellen. Deli was able to contribute cash thrice the interest of Chary in the partnership while Ellen was able to contribute cash twice the interest of Deli in the Partnership. Chary contributed the following: Cash P18,000 . • Accounts Receivable P378,000 w/ allowance for doubtful accounts of P12,000 Inventory P840,000 store equipment with accumulated depreciation of P30,000 but with a current worth of P250,000 and agreed value of P200,000 Chary, Deli and Ellen agreed that the allowance for doubtful accounts was inadequate and should be P20,000. They also agreed that the FV of the inventory is P920,000. How much is the total assets after formation? 7,092,000 14,960,000 15,460,000 7,880,000

A business owner by Chary was short of cash and she decided to form a partnership with Deli and Ellen. Deli was able to contribute cash thrice the interest of Chary in the partnership while Ellen was able to contribute cash twice the interest of Deli in the Partnership. Chary contributed the following: Cash P18,000 . • Accounts Receivable P378,000 w/ allowance for doubtful accounts of P12,000 Inventory P840,000 store equipment with accumulated depreciation of P30,000 but with a current worth of P250,000 and agreed value of P200,000 Chary, Deli and Ellen agreed that the allowance for doubtful accounts was inadequate and should be P20,000. They also agreed that the FV of the inventory is P920,000. How much is the total assets after formation? 7,092,000 14,960,000 15,460,000 7,880,000

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter13: Choice Of Business Entity—general Tax And Nontax Factors/formation

Section: Chapter Questions

Problem 43P

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